Rose Petal Nursery
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 | |||||||||||||
| General Public | 0% | $8,000 | $11,000 | $13,000 | $17,000 | $19,000 | $18,000 | $15,000 | $11,000 | $8,000 | $5,000 | $5,000 | $5,000 |
| Contractors | 0% | $10,000 | $13,000 | $15,000 | $19,000 | $23,000 | $23,000 | $23,000 | $18,000 | $13,000 | $8,000 | $8,000 | $8,000 |
| Total Sales | $18,000 | $24,000 | $28,000 | $36,000 | $42,000 | $41,000 | $38,000 | $29,000 | $21,000 | $13,000 | $13,000 | $13,000 | |
| 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 | |
| Flowers, Trees, Shrubs | $5,400 | $7,200 | $8,400 | $10,800 | $12,600 | $12,300 | $11,400 | $8,700 | $6,300 | $3,900 | $3,900 | $3,900 | |
| Garden Supplies | $3,600 | $4,800 | $5,600 | $7,200 | $8,400 | $8,200 | $7,600 | $5,800 | $4,200 | $2,600 | $2,600 | $2,600 | |
| Subtotal Direct Cost of Sales | $9,000 | $12,000 | $14,000 | $18,000 | $21,000 | $20,500 | $19,000 | $14,500 | $10,500 | $6,500 | $6,500 | $6,500 | |
| 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 | ||
| Owners | 0% | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 |
| Full-time Employees | 0% | $0 | $0 | $0 | $0 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 | $4,000 |
| Part-time Employees | 0% | $2,000 | $2,000 | $2,000 | $2,000 | $2,000 | $3,000 | $3,000 | $2,000 | $2,000 | $0 | $0 | $0 |
| Total People | 3 | 3 | 3 | 3 | 5 | 6 | 6 | 5 | 5 | 4 | 4 | 4 | |
| Total Payroll | $9,000 | $9,000 | $9,000 | $9,000 | $13,000 | $14,000 | $14,000 | $13,000 | $13,000 | $11,000 | $11,000 | $11,000 | |
| 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 | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | 9.00% | |
| Long-term Interest Rate | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | 7.00% | |
| 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 | $18,000 | $24,000 | $28,000 | $36,000 | $42,000 | $41,000 | $38,000 | $29,000 | $21,000 | $13,000 | $13,000 | $13,000 | |
| Direct Cost of Sales | $9,000 | $12,000 | $14,000 | $18,000 | $21,000 | $20,500 | $19,000 | $14,500 | $10,500 | $6,500 | $6,500 | $6,500 | |
| Other Costs of Goods | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Total Cost of Sales | $9,000 | $12,000 | $14,000 | $18,000 | $21,000 | $20,500 | $19,000 | $14,500 | $10,500 | $6,500 | $6,500 | $6,500 | |
| Gross Margin | $9,000 | $12,000 | $14,000 | $18,000 | $21,000 | $20,500 | $19,000 | $14,500 | $10,500 | $6,500 | $6,500 | $6,500 | |
| Gross Margin % | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | 50.00% | |
| Expenses | |||||||||||||
| Payroll | $9,000 | $9,000 | $9,000 | $9,000 | $13,000 | $14,000 | $14,000 | $13,000 | $13,000 | $11,000 | $11,000 | $11,000 | |
| Sales and Marketing and Other Expenses | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | $500 | |
| Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Rent | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | $1,000 | |
| Utilities | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | $300 | |
| Insurance | 15% | $300 | $0 | $0 | $0 | $0 | $300 | $0 | $0 | $0 | $0 | $0 | $0 |
| Payroll Taxes | 15% | $1,350 | $1,350 | $1,350 | $1,350 | $1,950 | $2,100 | $2,100 | $1,950 | $1,950 | $1,650 | $1,650 | $1,650 |
| Total Operating Expenses | $12,450 | $12,150 | $12,150 | $12,150 | $16,750 | $18,200 | $17,900 | $16,750 | $16,750 | $14,450 | $14,450 | $14,450 | |
| Profit Before Interest and Taxes | ($3,450) | ($150) | $1,850 | $5,850 | $4,250 | $2,300 | $1,100 | ($2,250) | ($6,250) | ($7,950) | ($7,950) | ($7,950) | |
| EBITDA | ($3,450) | ($150) | $1,850 | $5,850 | $4,250 | $2,300 | $1,100 | ($2,250) | ($6,250) | ($7,950) | ($7,950) | ($7,950) | |
| Interest Expense | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Taxes Incurred | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Net Profit | ($3,450) | ($150) | $1,850 | $5,850 | $4,250 | $2,300 | $1,100 | ($2,250) | ($6,250) | ($7,950) | ($7,950) | ($7,950) | |
| Net Profit/Sales | -19.17% | -0.63% | 6.61% | 16.25% | 10.12% | 5.61% | 2.89% | -7.76% | -29.76% | -61.15% | -61.15% | -61.15% | |
| 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 | $4,500 | $6,000 | $7,000 | $9,000 | $10,500 | $10,250 | $9,500 | $7,250 | $5,250 | $3,250 | $3,250 | $3,250 | |
| Cash from Receivables | $0 | $450 | $13,650 | $18,100 | $21,200 | $27,150 | $31,475 | $30,675 | $28,275 | $21,550 | $15,550 | $9,750 | |
| Subtotal Cash from Operations | $4,500 | $6,450 | $20,650 | $27,100 | $31,700 | $37,400 | $40,975 | $37,925 | $33,525 | $24,800 | $18,800 | $13,000 | |
| 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 | $0 | $5,000 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| Subtotal Cash Received | $4,500 | $6,450 | $20,650 | $27,100 | $36,700 | $37,400 | $40,975 | $37,925 | $33,525 | $24,800 | $18,800 | $13,000 | |
| 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 | $9,000 | $9,000 | $9,000 | $9,000 | $13,000 | $14,000 | $14,000 | $13,000 | $13,000 | $11,000 | $11,000 | $11,000 | |
| Bill Payments | $115 | $3,697 | $11,133 | $19,557 | $25,633 | $27,920 | $24,053 | $20,985 | $13,185 | $9,707 | $5,697 | $9,950 | |
| Subtotal Spent on Operations | $9,115 | $12,697 | $20,133 | $28,557 | $38,633 | $41,920 | $38,053 | $33,985 | $26,185 | $20,707 | $16,697 | $20,950 | |
| 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 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | |
| 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 | $9,115 | $12,697 | $20,133 | $28,557 | $38,633 | $41,920 | $38,053 | $33,985 | $26,185 | $20,707 | $16,697 | $20,950 | |
| Net Cash Flow | ($4,615) | ($6,247) | $517 | ($1,457) | ($1,933) | ($4,520) | $2,922 | $3,940 | $7,340 | $4,093 | $2,103 | ($7,950) | |
| Cash Balance | $15,385 | $9,138 | $9,655 | $8,198 | $6,265 | $1,745 | $4,667 | $8,607 | $15,947 | $20,040 | $22,143 | $14,193 | |
| 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 | $20,000 | $15,385 | $9,138 | $9,655 | $8,198 | $6,265 | $1,745 | $4,667 | $8,607 | $15,947 | $20,040 | $22,143 | $14,193 |
| Accounts Receivable | $0 | $13,500 | $31,050 | $38,400 | $47,300 | $57,600 | $61,200 | $58,225 | $49,300 | $36,775 | $24,975 | $19,175 | $19,175 |
| Inventory | $26,500 | $17,500 | $13,200 | $15,400 | $19,800 | $23,100 | $22,550 | $20,900 | $15,950 | $11,550 | $7,150 | $7,150 | $7,150 |
| Other Current Assets | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Current Assets | $46,500 | $46,385 | $53,388 | $63,455 | $75,298 | $86,965 | $85,495 | $83,792 | $73,857 | $64,272 | $52,165 | $48,468 | $40,518 |
| Long-term Assets | |||||||||||||
| Long-term Assets | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 |
| Accumulated Depreciation | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Long-term Assets | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 | $12,000 |
| Total Assets | $58,500 | $58,385 | $65,388 | $75,455 | $87,298 | $98,965 | $97,495 | $95,792 | $85,857 | $76,272 | $64,165 | $60,468 | $52,518 |
| 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 | $3,335 | $10,488 | $18,705 | $24,698 | $27,115 | $23,345 | $20,542 | $12,857 | $9,522 | $5,365 | $9,618 | $9,618 |
| Current Borrowing | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Other Current Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Subtotal Current Liabilities | $0 | $3,335 | $10,488 | $18,705 | $24,698 | $27,115 | $23,345 | $20,542 | $12,857 | $9,522 | $5,365 | $9,618 | $9,618 |
| Long-term Liabilities | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 | $0 |
| Total Liabilities | $0 | $3,335 | $10,488 | $18,705 | $24,698 | $27,115 | $23,345 | $20,542 | $12,857 | $9,522 | $5,365 | $9,618 | $9,618 |
| Paid-in Capital | $100,000 | $100,000 | $100,000 | $100,000 | $100,000 | $105,000 | $105,000 | $105,000 | $105,000 | $105,000 | $105,000 | $105,000 | $105,000 |
| Retained Earnings | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) | ($41,500) |
| Earnings | $0 | ($3,450) | ($3,600) | ($1,750) | $4,100 | $8,350 | $10,650 | $11,750 | $9,500 | $3,250 | ($4,700) | ($12,650) | ($20,600) |
| Total Capital | $58,500 | $55,050 | $54,900 | $56,750 | $62,600 | $71,850 | $74,150 | $75,250 | $73,000 | $66,750 | $58,800 | $50,850 | $42,900 |
| Total Liabilities and Capital | $58,500 | $58,385 | $65,388 | $75,455 | $87,298 | $98,965 | $97,495 | $95,792 | $85,857 | $76,272 | $64,165 | $60,468 | $52,518 |
| Net Worth | $58,500 | $55,050 | $54,900 | $56,750 | $62,600 | $71,850 | $74,150 | $75,250 | $73,000 | $66,750 | $58,800 | $50,850 | $42,900 |
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