Holoease

Author
Date
Purpose
To perform a financial analysis for the startup tech
company, Holoease
Holoease
Start-Up Requirements
Required Expenses
Plant Construction 400,000
Plant Equipment 300,000
Other Required Expenses 250,000
Total Required Expenses $ 950,000
Required Assets
Cash 175,000
Property 110,000
Miscellaneous Assets 100,000
Long-Term Assets
Total Required Assets $ 385,000
TOTAL REQUIRED EXPENSES AND ASSETS $ 1,335,000

Start-Up Assets
Non-Cash Assets 210,000
Cash Assets 175,000
Additional Available Cash (525,000)
Cash Balance on Starting Date (350,000)
TOTAL START-UP ASSETS $ (140,000)

Liabilities and Capital

Start-Up Liabilities
Long-Term Business Loan
Outstanding Debts -
Total Liabilities $ -
Start-Up Capital
Owners 420,000
Investors
Tech Innovations Startup Grant 390,000
Total Available Capital $ 810,000

Project Summary
START-UP INVESTMENT 810,000
START-UP EXPENSES (950,000)
INITIAL EQUITY (140,000)
TOTAL LIABILITIES AND EQUITY $ (140,000)

TOTAL FUNDING $ 810,000

757139309.xlsx Startup Plan 05/23/2024

Holoease Business Plan
Loan Scenarios
Annual Interest Rate

Financial Value Business Loan Future Value Years Payments per Payments Annual Rate Rate per Quarter Quarterly Payments
(PV) (FV) Year (NPER) (RATE) (PMT)

Quarterly Payment (PMT) $ 750,000 $ - 10 4 40 0.00% 0.00%

Future Value (FV) $ 750,000 10 4 40 0.00% 0.00% $ (22,000)
Payments (NPER) $ 750,000 $ - 4 0.00% 0.00% $ (22,000)
Business Loan (PV) $ - 10 4 40 0.00% 0.00% $ (22,000)

757139309.xlsx Loan Scenarios 05/23/2024

Holoease Business Plan
Amortization Schedule
Loan (PV) Annual Rate Payments per Rate per Period (RATE) Years Payments Payment
Year (NPER) (PMT)

$0 5.75% 4 1.44% 10 40

Amortization Schedule
Year Period Remaining Interest Principal Total Payment
Principal Payment (IPMT) Payment (PPMT)

1 1 $ - $ -
1 2 - -
1 3 - -
1 4 - -
2 5 - -
2 6 - -
2 7 - -
2 8 - -
3 9 - -
3 10 - -
3 11 - -
3 12 - -
4 13 - -
4 14 - -
4 15 - -
4 16 - -
5 17 - -
5 18 - -
5 19 - -
5 20 - -
6 21 - -
6 22 - -
6 23 - -
6 24 - -
7 25 - -
7 26 - -
7 27 - -
7 28 - -
8 29 - -
8 30 - -
8 31 - -
8 32 - -
9 33 - -
9 34 - -
9 35 - -
9 36 - -
10 37 - -
10 38 - -
10 39 - -
10 40 - -
Final Balance $0.00

Cumulative Interest and Principal Payments per Year

Year 1 Year 2 Year 3 Year 4 Year 5
1 5 9 13 17
Quarters

4 8 12 16 20 Total
Principal Paid (CUMPRINC) $0
Interest Paid (CUMIPMT) $0
Principal Remaining $0 $0 $0 $0 $0

757139309.xlsx Amortization Schedule 05/23/2024

Holoease Business Plan
Pro Forma Profit & Loss Statement
Percent Cost of Marketing 20%
Percent Cost of R&D 10%
Assumed Tax Rate 33%

Income Year 1 Year 2 Year 3 Year 4 Year 5

Revenue $ 1,000,000 $ 3,000,000
Cost of Marketing 200,000 - - - 600,000
Cost of R&D 100,000 - - - 300,000
GROSS PROFIT 700,000 - - - 2,100,000

Expenses Year 1 Year 2 Year 3 Year 4 Year 5

Payroll $ 630,000
Occupancy Costs 120,000
Insurance 30,000
Miscellaneous Expenses 45,000
TOTAL GENERAL EXPENSES 825,000 - - - -

Earnings Year 1 Year 2 Year 3 Year 4 Year 5

Initial Earnings $ (125,000) $ - $ - $ - $ 2,100,000
Depreciation
Operating Profit (125,000) - - - 2,100,000

Interest Expense
Pretax Profit (125,000) - - - 2,100,000

Tax Liability
After-Tax Profit $ (125,000) $ - $ - $ - $ 2,100,000

Dividends to Shareholders

Retained Earnings $ (125,000) $ - $ - $ - $ 2,100,000

757139309.xlsx Profit and Loss 05/23/2024

Holoease Business Plan
Depreciation
Long-Term Assets (Cost) $ -
Salvage Value (Salvage) $ 50,000
Life of Asset (Life) 15

Year
Straight-Line (SLN) 1 2 3 4 5
Yearly Depreciation
Cumulative Depreciation - - - - -
Depreciated Asset Value $ - $ - $ - $ - $ -

Year
Declining Balance (DB) 1 2 3 4 5
Yearly Depreciation
Cumulative Depreciation - - - - -
Depreciated Asset Value $ - $ - $ - $ - $ -

757139309.xlsx Depreciation 05/23/2024

Holoease Business Plan
Investment
Proposed Repayment Schedule to Investors

Investment (PV) $ -
Yearly Payments (PMT) 55,000
Payments (NPER) 5
Interest Rate (RATE)

Year 1 Year 2 Year 3 Year 4 Year 5

Payments 55,000 55,000 55,000 55,000 55,000
Dividends
Total 55,000 55,000 55,000 55,000 55,000

Return on the Investment

Payments Net Cash Flow
Startup $ -
Year 1 55,000
Year 2 55,000
Year 3 55,000
Year 4 55,000
Year 5 55,000

Desired Rate of Return

Present Value (NPV)
Net Present Value
Internal Rate of Return (IRR)

757139309.xlsx Investment 05/23/2024

Holoease Business Plan
Pro Forma Balance Sheet
Assets Year 1 Year 2 Year 3 Year 4 Year 5
Current Assets
Cash #NAME? #NAME? #NAME? #NAME? #NAME?
Accounts Receivable - - - - -
Inventory - - - - -
Total Current Assets #NAME? #NAME? #NAME? #NAME? #NAME?

Property and Equipment

Property 110,000 110,000 110,000 110,000 110,000
Miscellaneous Assets 100,000 100,000 100,000 100,000 100,000
Long-Term Assets - - - - -
Less Accumulated Depreciation - - - - -
Net Property & Equipment 210,000 210,000 210,000 210,000 210,000

TOTAL ASSETS #NAME? #NAME? #NAME? #NAME? #NAME?

Liabilities and Equity Year 1 Year 2 Year 3 Year 4 Year 5

Current Liabilities
Total Current Liabilities - - - - -

Long-Term Liabilities
Total Long-Term Liabilities - - - - -

Equity
Initial Investment 810,000 810,000 810,000 810,000 810,000
Less Start-Up Expenses (950,000) (950,000) (950,000) (950,000) (950,000)
Less Investor Repayment (55,000) (110,000) (165,000) (220,000) (275,000)
Accumulated Retained Earnings (125,000) (125,000) (125,000) (125,000) 1,975,000
Total Equity (320,000) (375,000) (430,000) (485,000) 1,560,000

TOTAL LIABILITIES AND EQUITY (320,000) (375,000) (430,000) (485,000) 1,560,000

NET WORTH #NAME? #NAME? #NAME? #NAME? #NAME?

757139309.xlsx Balance Sheet 05/23/2024

Holoease Business Plan
Pro Forma Cash Flow
Cash Balance on Starting Date $ (350,000)

Cash Inflows Year 1 Year 2 Year 3 Year 4 Year 5

Operating Profit #NAME? - - - 2,100,000
Depreciation Add-Back - - - - -
Additional Cash Received - - - - -
New Borrowing - - - - -
Sales of Other Current Assets - - - - -
TOTAL CASH INFLOW #NAME? $ - $ - $ - $ 2,100,000

Cash Outflows Year 1 Year 2 Year 3 Year 4 Year 5

Loan Payment to Investors 55,000 55,000 55,000 55,000 55,000
Dividends - - - - -
Estimated Tax - - - - -
Interest Payments - - - - -
Debt Payment - - - - -
TOTAL CASH OUTFLOW $ 55,000 $ 55,000 $ 55,000 $ 55,000 $ 55,000

NET CASH FLOW #NAME? $ (55,000) $ (55,000) $ (55,000) $ 2,045,000

CASH BALANCE #NAME? #NAME? #NAME? #NAME? #NAME?

757139309.xlsx Cash Flow 05/23/2024

Holoease
Terms and Definitions
Term Definition
Cash flow The direction in which money flows either to or from the user
Negative cash flow Money that is flowing from the user

Positive cash flow Money that is flowing towards the user

Present value The current value of a loan or investment

Future value The future value of a loan or investment

Cost of sales Expenses which are directly related to production

Tangible assets Noncash assets such as equipment, land, buildings, and
Gross profit vehicles
The difference between the company's sales and the cost of
goods sold
Extrapolation A process by extending a series from a single value or a few
values to project future values
Interpolation A process to fill in a series when given then starting and ending
values of the series
Linear trend A trend by which values change by a constant amount
Growth trend A trend by which values change by a constant percentage
Depreciation The process of allocating the original cost of an asset over the
lifetime of the asset
Straight-line depreciation Depreciation in which the asset drops in value by a constant
amount
Declining balance depreciation Depreciation in which the asset drops in value by a constant
percentage
Payback period The length of time before an investment recovers its initial
Rate of return cost
An interest rate that compares of value of current dollars to
future dollars from a series of cash flows
Net present value The difference between the present value of an investment
and the initial expenditure on that investment
Internal rate of return The return rate for a series of future cash flow that will will
result in a net present value of 0
Notes

Excel returns negative cash flow values for

loan payments
Excel returns positive cash flow values for
investments

Use a future value of 0 for loans that will be

completely repaid

Calculate using the SLN function

Calculate using the DB function

Calculate by adding the current expenditure

to the value returned by the NPV function
Calculate using the IRR function