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    Milds Ladao
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    This financial plan outlines the requirements to start and maintain a profitable business. It includes projected balance sheets, income statements, and cash flow analyses. The plan discusses the need for startup capital and outlines methods of financing including personal funds, loans, and investors. Budgets are provided for startup costs, operating expenses, sources and uses of funds. Cash flow and income statements are projected for the first three years. A break-even analysis calculates the sales volume needed to cover fixed and variable costs.

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    FINANCIAL PLAN FOR ABM STUDENTS

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    This financial plan outlines the requirements to start and maintain a profitable business. It includes projected balance sheets, income statements, and cash flow analyses. The plan discusses the need for startup capital and outlines methods of financing including personal funds, loans, and investors. Budgets are provided for startup costs, operating expenses, sources and uses of funds. Cash flow and income statements are projected for the first three years. A break-even analysis calculates the sales volume needed to cover fixed and variable costs.

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    © All Rights Reserved
    Download as PPTX, PDF, TXT or read online from Scribd
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    89 views14 pages

    ABM Students

    Uploaded by

    Milds Ladao
    This financial plan outlines the requirements to start and maintain a profitable business. It includes projected balance sheets, income statements, and cash flow analyses. The plan discusses the need for startup capital and outlines methods of financing including personal funds, loans, and investors. Budgets are provided for startup costs, operating expenses, sources and uses of funds. Cash flow and income statements are projected for the first three years. A break-even analysis calculates the sales volume needed to cover fixed and variable costs.

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    of 14

    Financial plan

    MILDRED ANN LADAO, CPA


    JANUARY 7, 2018
    PURPOSE OF FINANCIAL PLAN

    To show the financial


    requirements to start the
    business and to keep the
    business profitable
    CONTENTS

    START–UP CAPITAL
    PROJECTED BALANCE SHEET
    PROJECTED INCOME STATEMENT
    PROJECTED FUNDING FLOW
    BREAK – EVEN ANALYSIS
    Financing Your New Business

     Start up loans are very


    difficult to obtain
     Chances are you have
    to rely on the funds you
    can personally raise
    Methods of Financing

     Personal funds
     Family/ friend loans and gifts
     Angel investor
     Venture capital
     Grants
     Personal loan
     Business loan
    Financial Plan: Startup Budget

     Personnel (costs prior to opening)


     Occupancy (lease, rent, or mortgage)
     Licenses/ Permits
     TAXES
     Legal/ Professional Fees
     Equipment
     Supplies
     Salary/ Wages
     Utilities
     Payroll Expenses
     Internet
    Financial Plan: Operating Budget

     Personnel  Insurance
     Lease/ Rent/ Mortgage  Advertising/ Promotions
     Loan Payments  Depreciation
     Legal Fees  Payroll Expenses
     Accounting  Internet
     Supplies  Payroll Taxes
     Salaries/ Wages  Travel/ Entertainment
     Dues/ Subscriptions/ Fees  Miscellaneous
     Repairs/ Maintenance  3-6 Months of Operating
    Capital
    Financial Plan: Sources and Uses

    Sources of funds
    Details of requested financing
    Amount
    Use
    Terms
    SOURCES & USES OF FUNDS
    SOURCES OF FUNDS

    INVESTMENT CAPITAL
    Cash on Hand
    Investment by Founder
    Investment by Others
    Incentives and Grants

    DEBT CAPITAL
    Bank Business Loan
    Bank Personal Loan
    SBA Guaranteed Loan
    Other Loans

    TOTAL

    APPLICATION OF FUNDS
    Rent & Security Deposits
    Equipment/ Fixtures
    Leasehold Improvements
    Initial Inventory
    W orking Capital
    Insurance
    Professional Fees
    Advertising
    Signage
    Contingency Reserve

    TOTAL
    CASH FLOW PROJECTION Year One
    Month 1 2 3 4 5 6 7 8 9 10 11 12 Total
    Cash In-Flows
    Sales
    Other Income

    Total In-Flows

    Cash Out-Flows
    Cost of Goods Sold
    Rent/ Mortgage
    Owner's Salary
    Other Salaries
    Advertising/ Promotion
    Utilities
    Loan Payments (current)
    Loan Payments (previous)
    Telephone
    Office Expense
    Dues/ Subscriptions
    Accounting
    Insurance
    Professional Fees
    Internet
    Repairs/ Maintenance
    Licenses/ Permits
    Travel/ Entertainment
    Legal Fees
    Bank Charges
    Miscellaneous

    Total Out-Flows

    Beginning Cash Balance

    Ending Cash Balance


    Pro-Forma Income Statement
    Year 1 2 3

    Sales
    Less: Cost of Goods Sold

    Gross Profit

    Operating Expenses
    Rent/ Mortgage
    Owner's Salary
    Other Salaries
    Payroll Taxes
    Advertising & Promotion
    Telephone
    Office Expense
    Dues and Subscriptions
    Accounting
    Insurance
    Professional Fees
    Internet
    Repairs & Maintenance
    Licenses & Permits
    Travel & Entertainment
    Legal Fees
    Bank Charges
    Miscellaneous
    Depreciation
    Amortization
    Interest

    Total Operating Expenses

    Net Profit Before Taxes


    Pro-Forma Balance Sheet
    (Opening Day of Business)
    CURRENT ASSETS
    Cash
    Accounts Receivable
    Inventories
    Prepaid Expenses
    Other Current Assets

    TOTAL CURRENT ASSETS

    FIXED ASSETS
    Land
    Leasehold Improvements
    Equipment
    Vehicles
    Other Fixed Assets
    Subtotal Fixed Assets

    Less: Accumulated Depreciation

    TOTAL FIXED ASSETS

    TOTAL ASSETS

    CURRENT LIABILITIES
    Accounts Payable
    Short-Term Debt
    Accrued Expenses
    Other Current Liabilities

    TOTAL CURRENT LIABILITIES

    LONG-TERM DEBT

    OWNER'S EQUITY
    Paid-In Capital
    Retained Earnings

    TOTAL OWNER'S EQUITY

    TOTAL LIABILITIES & OWNER'S EQUITY


    Financial Projections: 13
    Break Even Analyis
    1200

    1000
    Break-Even
    800
    TR = TC Fixed Cost
    Revenue

    600 Total Cost


    400
    } Variable Cost
    Total Revenue

    200

    0
    0 20 40 60 80 100 Units Sold

    Total Fixed Cost


    [ B/E(Quantity) = Price per Unit – Var. Cost per Unit
    ]
    1/17/2019
    THANK YOU FOR LISTENING!

    MILDRED ANN E. LADAO, CPA


    Mildred.ladao@gmail.com
    09287724393

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