NW Architecture
Appendix
| Sales Forecast | |||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
| Sales | |||||||||||||
| Design | 0% | $8,000 | $0 | $5,000 | $0 | $10,000 | $5,000 | $0 | $14,000 | $0 | $0 | $0 | $0 |
| Production | 0% | $0 | $5,000 | $0 | $2,000 | $0 | $0 | $7,000 | $2,000 | $0 | $10,000 | $0 | $0 |
| Construction Documents | 0% | $0 | $0 | $7,000 | $0 | $4,000 | $0 | $0 | $0 | $9,000 | $0 | $3,000 | $11,000 |
| Total Sales | $8,000 | $5,000 | $12,000 | $2,000 | $14,000 | $5,000 | $7,000 | $16,000 | $9,000 | $10,000 | $3,000 | $11,000 | |
| Direct Cost of Sales | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Design | $100 | $0 | $100 | $0 | $100 | $100 | $0 | $100 | $0 | $0 | $0 | $0 | |
| Production | $0 | $50 | $0 | $50 | $0 | $0 | $50 | $50 | $0 | $50 | $0 | $0 | |
| Construction Documents | $0 | $0 | $100 | $0 | $100 | $0 | $0 | $0 | $100 | $0 | $100 | $100 | |
| Subtotal Direct Cost of Sales | $100 | $50 | $200 | $50 | $200 | $100 | $50 | $150 | $100 | $50 | $100 | $100 | |
| Personnel Plan | |||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
| Nathan Sawyer | 0% | $0 | $0 | $0 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
| Clerical | 0% | $0 | $0 | $0 | $0 | $0 | $0 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 |
| CAD/Form-Z Designers | 0% | $0 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $2,500 | $5,000 | $5,000 | $5,000 | $5,000 | $5,000 |
| Total People | 1 | 2 | 2 | 2 | 2 | 2 | 3 | 4 | 4 | 4 | 4 | 4 | |
| Total Payroll | $0 | $2,500 | $2,500 | $4,500 | $4,500 | $4,500 | $6,500 | $9,000 | $9,000 | $9,000 | $9,000 | $9,000 | |
| General Assumptions | ||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Plan Month | 1 | 2 | 3 | 4 | 5 | 6 | 7 | 8 | 9 | 10 | 11 | 12 |
| Current Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% |
| Long-term Interest Rate | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% | 10.00% |
| Tax Rate | 30.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% | 25.00% |
| Other | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 | 0 |
| Pro Forma Profit and Loss | |||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
| Sales | $8,000 | $5,000 | $12,000 | $2,000 | $14,000 | $5,000 | $7,000 | $16,000 | $9,000 | $10,000 | $3,000 | $11,000 | |
| Direct Cost of Sales | $100 | $50 | $200 | $50 | $200 | $100 | $50 | $150 | $100 | $50 | $100 | $100 | |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $100 | $50 | $200 | $50 | $200 | $100 | $50 | $150 | $100 | $50 | $100 | $100 | |
| Gross Margin | $7,900 | $4,950 | $11,800 | $1,950 | $13,800 | $4,900 | $6,950 | $15,850 | $8,900 | $9,950 | $2,900 | $10,900 | |
| Gross Margin % | 98.75% | 99.00% | 98.33% | 97.50% | 98.57% | 98.00% | 99.29% | 99.06% | 98.89% | 99.50% | 96.67% | 99.09% | |
| Expenses | |||||||||||||
| Payroll | $0 | $2,500 | $2,500 | $4,500 | $4,500 | $4,500 | $6,500 | $9,000 | $9,000 | $9,000 | $9,000 | $9,000 | |
| Sales and Marketing and Other Expenses | $350 | $350 | $1,350 | $350 | $350 | $1,350 | $350 | $350 | $1,350 | $350 | $350 | $1,350 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Leased Equipment | $120 | $120 | $120 | $120 | $120 | $120 | $120 | $120 | $120 | $120 | $120 | $120 | |
| Utilities | $40 | $40 | $40 | $40 | $40 | $40 | $40 | $40 | $40 | $40 | $40 | $40 | |
| Insurance | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | $150 | |
| Rent | $1,040 | $1,040 | $1,040 | $1,040 | $1,040 | $1,040 | $1,040 | $1,950 | $1,950 | $1,950 | $1,950 | $1,950 | |
| Payroll Taxes | 15% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Other | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Operating Expenses | $1,700 | $4,200 | $5,200 | $6,200 | $6,200 | $7,200 | $8,200 | $11,610 | $12,610 | $11,610 | $11,610 | $12,610 | |
| Profit Before Interest and Taxes | $6,200 | $750 | $6,600 | ($4,250) | $7,600 | ($2,300) | ($1,250) | $4,240 | ($3,710) | ($1,660) | ($8,710) | ($1,710) | |
| EBITDA | $6,200 | $750 | $6,600 | ($4,250) | $7,600 | ($2,300) | ($1,250) | $4,240 | ($3,710) | ($1,660) | ($8,710) | ($1,710) | |
| Interest Expense | $143 | $140 | $137 | $134 | $131 | $128 | $125 | $122 | $119 | $116 | $113 | $110 | |
| Taxes Incurred | $1,817 | $152 | $1,616 | ($1,096) | $1,867 | ($607) | ($344) | $1,030 | ($957) | ($444) | ($2,206) | ($455) | |
| Net Profit | $4,240 | $457 | $4,847 | ($3,288) | $5,602 | ($1,821) | ($1,031) | $3,089 | ($2,872) | ($1,332) | ($6,617) | ($1,365) | |
| Net Profit/Sales | 53.00% | 9.15% | 40.39% | -164.40% | 40.01% | -36.42% | -14.73% | 19.30% | -31.91% | -13.32% | -220.57% | -12.41% | |
| Pro Forma Cash Flow | |||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
| Cash Received | |||||||||||||
| Cash from Operations | |||||||||||||
| Cash Sales | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Cash from Receivables | $0 | $267 | $7,900 | $5,233 | $11,667 | $2,400 | $13,700 | $5,067 | $7,300 | $15,767 | $9,033 | $9,767 | |
| Subtotal Cash from Operations | $0 | $267 | $7,900 | $5,233 | $11,667 | $2,400 | $13,700 | $5,067 | $7,300 | $15,767 | $9,033 | $9,767 | |
| Additional Cash Received | |||||||||||||
| Sales Tax, VAT, HST/GST Received | 0.00% | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| New Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| New Other Liabilities (interest-free) | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| New Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Sales of Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Sales of Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| New Investment Received | $0 | $0 | $0 | $6,000 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Received | $0 | $267 | $7,900 | $11,233 | $11,667 | $2,400 | $13,700 | $5,067 | $7,300 | $15,767 | $9,033 | $9,767 | |
| Expenditures | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Expenditures from Operations | |||||||||||||
| Cash Spending | $0 | $2,500 | $2,500 | $4,500 | $4,500 | $4,500 | $6,500 | $9,000 | $9,000 | $9,000 | $9,000 | $9,000 | |
| Bill Payments | $155 | $4,571 | $2,075 | $4,329 | $837 | $3,649 | $2,196 | $1,590 | $4,695 | $2,755 | $2,223 | $609 | |
| Subtotal Spent on Operations | $155 | $7,071 | $4,575 | $8,829 | $5,337 | $8,149 | $8,696 | $10,590 | $13,695 | $11,755 | $11,223 | $9,609 | |
| Additional Cash Spent | |||||||||||||
| Sales Tax, VAT, HST/GST Paid Out | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Principal Repayment of Current Borrowing | $365 | $365 | $365 | $365 | $365 | $365 | $365 | $365 | $365 | $365 | $365 | $365 | |
| Other Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Long-term Liabilities Principal Repayment | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Purchase Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Purchase Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Dividends | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Spent | $520 | $7,436 | $4,940 | $9,194 | $5,702 | $8,514 | $9,061 | $10,955 | $14,060 | $12,120 | $11,588 | $9,974 | |
| Net Cash Flow | ($520) | ($7,170) | $2,960 | $2,039 | $5,965 | ($6,114) | $4,639 | ($5,889) | ($6,760) | $3,646 | ($2,555) | ($207) | |
| Cash Balance | $18,480 | $11,310 | $14,270 | $16,310 | $22,275 | $16,161 | $20,800 | $14,911 | $8,151 | $11,797 | $9,242 | $9,036 | |
| Pro Forma Balance Sheet | |||||||||||||
| Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | ||
| Assets | Starting Balances | ||||||||||||
| Current Assets | |||||||||||||
| Cash | $19,000 | $18,480 | $11,310 | $14,270 | $16,310 | $22,275 | $16,161 | $20,800 | $14,911 | $8,151 | $11,797 | $9,242 | $9,036 |
| Accounts Receivable | $0 | $8,000 | $12,733 | $16,833 | $13,600 | $15,933 | $18,533 | $11,833 | $22,767 | $24,467 | $18,700 | $12,667 | $13,900 |
| Inventory | $0 | $900 | $850 | $650 | $600 | $400 | $300 | $250 | $1,100 | $1,000 | $950 | $850 | $750 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $19,000 | $27,380 | $24,893 | $31,754 | $30,510 | $38,608 | $34,994 | $32,883 | $38,777 | $33,617 | $31,447 | $22,759 | $23,686 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Accumulated Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Long-term Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Assets | $19,000 | $27,380 | $24,893 | $31,754 | $30,510 | $38,608 | $34,994 | $32,883 | $38,777 | $33,617 | $31,447 | $22,759 | $23,686 |
| Liabilities and Capital | Month 1 | Month 2 | Month 3 | Month 4 | Month 5 | Month 6 | Month 7 | Month 8 | Month 9 | Month 10 | Month 11 | Month 12 | |
| Current Liabilities | |||||||||||||
| Accounts Payable | $0 | $4,505 | $1,926 | $4,304 | $713 | $3,575 | $2,147 | $1,432 | $4,603 | $2,679 | $2,206 | $500 | $3,156 |
| Current Borrowing | $17,540 | $17,175 | $16,810 | $16,445 | $16,080 | $15,715 | $15,350 | $14,985 | $14,620 | $14,255 | $13,890 | $13,525 | $13,160 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $17,540 | $21,680 | $18,736 | $20,749 | $16,793 | $19,290 | $17,497 | $16,417 | $19,223 | $16,934 | $16,096 | $14,025 | $16,316 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $17,540 | $21,680 | $18,736 | $20,749 | $16,793 | $19,290 | $17,497 | $16,417 | $19,223 | $16,934 | $16,096 | $14,025 | $16,316 |
| Paid-in Capital | $19,000 | $19,000 | $19,000 | $19,000 | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 | $25,000 |
| Retained Earnings | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) | ($17,540) |
| Earnings | $0 | $4,240 | $4,697 | $9,544 | $6,256 | $11,858 | $10,037 | $9,006 | $12,095 | $9,223 | $7,891 | $1,274 | ($90) |
| Total Capital | $1,460 | $5,700 | $6,157 | $11,004 | $13,716 | $19,318 | $17,497 | $16,466 | $19,555 | $16,683 | $15,351 | $8,734 | $7,370 |
| Total Liabilities and Capital | $19,000 | $27,380 | $24,893 | $31,754 | $30,510 | $38,608 | $34,994 | $32,883 | $38,777 | $33,617 | $31,447 | $22,759 | $23,686 |
| Net Worth | $1,460 | $5,700 | $6,157 | $11,004 | $13,716 | $19,318 | $17,497 | $16,466 | $19,555 | $16,683 | $15,351 | $8,734 | $7,370 |
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