physical fitness gym business plan
TRANSCRIPT
Physical Fitness Gym Business PlanLadies Only Fitness
Executive Summary
Ladies Only Fitness is a women-only health club that creates a personalized environment for women to pursue their fitness goals. We have the best equipment and the best training program in this arena. We prepare our clients for success! We have the best weight-management program. Positive Lifestyle Systems is a truly responsible, effective, weight-management program. We offer this program with confidence. It is unbeatable.
Ladies Only Fitness' focus is the urban professional woman who has a very active life and very little time to spend on fitness. We also focus on young mothers who are looking for a fitness environment that is focused on their unique needs.
Ladies Only Fitness is located in the Southtowne Center in southwest Mapleton. The area is upscale and affluent and has a number of health clubs, but none that serve women only. Currently, there are 80,000 residents living in southwest Mapleton. The Southtowne Center is the central shopping facility in the area and is conveniently located, with plenty of parking.
Joan Sullivan, co-owner of Ladies Only Fitness, has worked in the area's clubs for the past fifteen years. She has created Ladies Only Fitness in order to fill a need she has seen in fitness services provided to women over the years.
From the selection of workout machines to the organization of the child care center, Ladies Only Fitness will create a supportive experience that will bring in new members by word of mouth.
1.1 Mission
The mission of Ladies Only Fitness is the following:
Create a woman-focused workout environment that promotes confidence in our clients.
Promote the success of our clients in meeting their fitness goals.
Celebrate their successes and help them set new fitness goals.
1.2 Objectives
The objectives of Ladies Only Fitness are the following:
Exceed 60% class capacity by the end of the first year of operation.
Acquire 200+ memberships by the end of the first year of operation.
Increase membership by 20% by the end of the second year of operation.
Company Summary
Ladies Only Fitness is a women only fitness club that offers fitness classes, exercise equipment, a weight reduction program, and a childcare center. The program will operate as a general partnership. Joan Sullivan will manage the daily operation of Ladies Only Fitness. Marge Williamson will have accounting oversight responsibilities.
2.1 Company Ownership
Ladies Only Fitness is co-owned by Joan Sullivan and Marge Williamson.
2.2 Start-up Summary
The start-up expenses for the Ladies Only Fitness is focused primarily on equipment and exercise surfaces for the classes. Joan Sullivan will invest $30,000. Marge Williamson will invest $70,000. In addition, club will secure a $60,000 long-term loan.
Start-up Funding
Start-up Expenses to Fund $94,200
Start-up Assets to Fund $65,800
Total Funding Required $160,000
Assets
Non-cash Assets from Start-up $0
Cash Requirements from Start-up $65,800
Additional Cash Raised $0
Cash Balance on Starting Date $65,800
Total Assets $65,800
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $60,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $60,000
Capital
Planned Investment
Joan Sullivan $30,000
Marge Williamson $70,000
Additional Investment Requirement $0
Total Planned Investment $100,000
Loss at Start-up (Start-up Expenses) ($94,200)
Total Capital $5,800
Total Capital and Liabilities $65,800
Total Funding $160,000
Start-up
Requirements
Start-up Expenses
Legal $500
Stationery etc. $200
Brochures $1,000
Insurance $500
Rent $2,000
Child Care Setup $10,000
Leased Equipment $80,000
Total Start-up Expenses $94,200
Start-up Assets
Cash Required $65,800
Other Current Assets $0
Long-term Assets $0
Total Assets $65,800
Total Requirements $160,000
2.3 Company Locations and Facilities
Ladies Only Fitness is located in the Southtowne Center in southwest Mapleton. The club occupies a 5,500 square foot storefront. The facility has one primary equipment room adjacent to the child care center. The club also has three exercise rooms. The facility can accommodate 110 people.
Services
Ladies Only Fitness' membership services are the following:
Ladies Only Fitness has a professional personal training staff. Our personal trainers provide the knowledge and expertise in designing and implementing a fitness program. Each trainer is AFLCA certified and has standard first aid and CPR.
Beyond that each trainer has specific qualifications and training that enables them to provide each client with an individually designed program.
Ladies Only Fitness offers a large selection of sophisticated equipment bio-mechanically designed for a woman's body.
Treadmills (10);
Stepmills;
Steppers;
Upright and recumbent bikes;
Elliptical trainers;
Stairmaster;
Rower;
Bodytrek;
Gravitron;
Cross aerobic trainers.
Ladies Only Fitness provides a floating foam floor for a variety of aerobic, step, muscle conditioning and yoga classes. The club also has a child care center to serve clients that would otherwise be unable to workout if they cannot find a babysitter, or be able to workout without the stress of watching over children.
The membership fee is $150 a month and the personal trainer fee is $25/hr.
Market Analysis Summary
Mapleton is a city on the move. The population has grown by 10% each year for the past three years. The current population of Mapleton is 600,000.
Most importantly, the growth has been fueled by the increased employment in the city's high-tech companies. This has attracted a type of professional that is the target customer for the Ladies Only Fitness. The women we are targeting are looking for a different type of fitness club experience. At Ladies Only Fitness, they will be the total focus of our staff.
Another target group is young mothers who are looking for a club that will fit their needs and keep their children close. Ladies Only Fitness has designed the facility so that the child care center can be seen by anyone working in the main exercise room. We believe that changes like that will be seen as welcome extras that will bring new members.
4.1 Market Segmentation
Ladies Only Fitness will focus on two customer groups:
Young urban professional women;
Young mothers with children (ages new born to three years of age).
Market Analysis
Year 1 Year 2 Year 3 Year 4 Year 5
Potential Customers Growth CAGR
Young Urban Professional Women
10% 12,000 13,200 14,520 15,972 17,569 10.00%
Young Mothers 10% 5,000 5,500 6,050 6,655 7,321 10.00%
Total 10.00% 17,000 18,700 20,570 22,627 24,890 10.00%
Strategy and Implementation Summary
Ladies Only Fitness will market through the numerous beauty salons, tanning salons and women's boutiques located in southwest Mapleton. The club will market to young mothers through clothing shops catering to young children. Ladies Only Fitness will offer the first membership month free.
5.1 Competitive Edge
The competitive advantage of Ladies Only Fitness is the environment that is created in the facility. Women feel more relaxed and comfortable in a program that is focused solely on them. In addition, we have designed the childcare center to be visible from the main workout floor. A young mother can watch her child play in the center while working out.
5.2 Sales Forecast
Ladies Only Fitness anticipates that sales will be slow for the first and second month of operation, due to our "first month free" promotion. After that point, sales will increase as new members pay for their membership fees.
The following is the sales forecast for three years.
Sales Forecast
Year 1 Year 2 Year 3
Sales
Memberships $124,000 $150,000 $190,000
Personal Trainers $120,000 $150,000 $190,000
Total Sales $244,000 $300,000 $380,000
Direct Cost of Sales Year 1 Year 2 Year 3
Memberships $0 $0 $0
Personal Trainers $0 $0 $0
Subtotal Direct Cost of Sales $0 $0 $0
Management Summary
Joan Sullivan will be the operations manager and lead trainer for Ladies Only Fitness. Joan has been a fixture in the Mapleton fitness community for the past fifteen years. She has been the manager of both the Mapleton Athletic Club (three years) and the Maximum Fitness Club (four years).
Her reputation as an effective staff supervisor is excellent. At both the Athletic Club and Maximum, membership increased by 15% each year under Joan's supervision.
Marge Williamson is a CPA with the firm of Smith, Jones, and Lawrence. Her primary responsibility will be to oversee accounts receivable and operational costs.
6.1 Personnel Plan
The following is the personnel plan for Ladies Only Fitness:
Operations manager/lead trainer;
Personal trainers (2);
Childcare staff (2);
Receptionist/clerk (1);
During the sixth month of operations, one additional personnel trainer will be hired.
Personnel Plan
Year 1 Year 2 Year 3
Operations Manager/Lead Trainer $36,000 $36,000 $38,000
Personal Trainers $90,000 $108,000 $116,000
Childcare Staff $36,000 $36,000 $39,000
Receptionist/Clerk $19,200 $19,200 $21,000
Total People 9 9 9
Total Payroll $181,200 $199,200 $214,000
Financial Plan
The following is the financial plan for Ladies Only Fitness.
7.1 Break-even Analysis
The monthly break-even point is shown below.
Break-even Analysis
Monthly Revenue Break-even $20,465
Assumptions:
Average Percent Variable Cost 0%
Estimated Monthly Fixed Cost $20,465
7.2 Projected Profit and Loss
The following table and charts highlight the projected profit and loss for three years.
Pro Forma Profit and Loss
Year 1 Year 2 Year 3
Sales $244,000 $300,000 $380,000
Direct Cost of Sales $0 $0 $0
Other Production Expenses $0 $0 $0
Total Cost of Sales $0 $0 $0
Gross Margin $244,000 $300,000 $380,000
Gross Margin % 100.00% 100.00% 100.00%
Expenses
Payroll $181,200 $199,200 $214,000
Sales and Marketing and Other Expenses $6,000 $8,000 $10,000
Depreciation $0 $0 $0
Leased Equipment $0 $0 $0
Utilities $4,800 $4,800 $4,800
Insurance $2,400 $2,400 $2,400
Rent $24,000 $24,000 $24,000
Payroll Taxes $27,180 $29,880 $32,100
Other $0 $0 $0
Total Operating Expenses $245,580 $268,280 $287,300
Profit Before Interest and Taxes ($1,580) $31,720 $92,700
EBITDA ($1,580) $31,720 $92,700
Interest Expense $5,578 $4,830 $4,050
Taxes Incurred $0 $8,067 $26,595
Net Profit ($7,158) $18,823 $62,055
Net Profit/Sales -2.93% 6.27% 16.33%
7.3 Projected Cash Flow
The following table and chart highlights the projected cash flow for three years.
Pro Forma Cash Flow
Year 1 Year 2 Year 3
Cash Received
Cash from Operations
Cash Sales $244,000 $300,000 $380,000
Subtotal Cash from Operations $244,000 $300,000 $380,000
Additional Cash Received
Sales Tax, VAT, HST/GST Received $0 $0 $0
New Current Borrowing $0 $0 $0
New Other Liabilities (interest-free) $0 $0 $0
New Long-term Liabilities $0 $0 $0
Sales of Other Current Assets $0 $0 $0
Sales of Long-term Assets $0 $0 $0
New Investment Received $0 $0 $0
Subtotal Cash Received $244,000 $300,000 $380,000
Expenditures Year 1 Year 2 Year 3
Expenditures from Operations
Cash Spending $181,200 $199,200 $214,000
Bill Payments $64,133 $81,063 $102,139
Subtotal Spent on Operations $245,333 $280,263 $316,139
Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out $0 $0 $0
Principal Repayment of Current Borrowing $0 $0 $0
Other Liabilities Principal Repayment $0 $0 $0
Long-term Liabilities Principal Repayment $7,800 $7,800 $7,800
Purchase Other Current Assets $0 $0 $0
Purchase Long-term Assets $0 $0 $0
Dividends $0 $0 $0
Subtotal Cash Spent $253,133 $288,063 $323,939
Net Cash Flow ($9,133) $11,937 $56,061
Cash Balance $56,667 $68,603 $124,664
7.4 Projected Balance Sheet
The following table highlights the projected balance sheet for three years.
Pro Forma Balance Sheet
Year 1 Year 2 Year 3
Assets
Current Assets
Cash $56,667 $68,603 $124,664
Other Current Assets $0 $0 $0
Total Current Assets $56,667 $68,603 $124,664
Long-term Assets
Long-term Assets $0 $0 $0
Accumulated Depreciation $0 $0 $0
Total Long-term Assets $0 $0 $0
Total Assets $56,667 $68,603 $124,664
Liabilities and Capital Year 1 Year 2 Year 3
Current Liabilities
Accounts Payable $5,824 $6,738 $8,543
Current Borrowing $0 $0 $0
Other Current Liabilities $0 $0 $0
Subtotal Current Liabilities $5,824 $6,738 $8,543
Long-term Liabilities $52,200 $44,400 $36,600
Total Liabilities $58,024 $51,138 $45,143
Paid-in Capital $100,000 $100,000 $100,000
Retained Earnings ($94,200) ($101,358) ($82,535)
Earnings ($7,158) $18,823 $62,055
Total Capital ($1,358) $17,466 $79,521
Total Liabilities and Capital $56,667 $68,603 $124,664
Net Worth ($1,357) $17,466 $79,521
7.5 Business Ratios
Business ratios for the years of this plan are shown below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 7991, Physical Fitness Facilities, are shown for comparison.
Ratio Analysis
Year 1 Year 2 Year 3 Industry Profile
Sales Growth 0.00% 22.95% 26.67% 15.90%
Percent of Total Assets
Other Current Assets 0.00% 0.00% 0.00% 31.10%
Total Current Assets 100.00% 100.00% 100.00% 39.00%
Long-term Assets 0.00% 0.00% 0.00% 61.00%
Total Assets 100.00% 100.00% 100.00% 100.00%
Current Liabilities 10.28% 9.82% 6.85% 34.80%
Long-term Liabilities 92.12% 64.72% 29.36% 27.60%
Total Liabilities 102.40% 74.54% 36.21% 62.40%
Net Worth -2.40% 25.46% 63.79% 37.60%
Percent of Sales
Sales 100.00% 100.00% 100.00% 100.00%
Gross Margin 100.00% 100.00% 100.00% 0.00%
Selling, General & Administrative Expenses 102.93% 93.73% 83.67% 73.20%
Advertising Expenses 2.46% 2.67% 2.63% 2.40%
Profit Before Interest and Taxes -0.65% 10.57% 24.39% 2.70%
Main Ratios
Current 9.73 10.18 14.59 1.10
Quick 9.73 10.18 14.59 0.73
Total Debt to Total Assets 102.40% 74.54% 36.21% 62.40%
Pre-tax Return on Net Worth 527.26% 153.96% 111.48% 3.00%
Pre-tax Return on Assets -12.63% 39.20% 71.11% 7.90%
Additional Ratios Year 1 Year 2 Year 3
Net Profit Margin -2.93% 6.27% 16.33% n.a
Return on Equity 0.00% 107.77% 78.04% n.a
Activity Ratios
Accounts Payable Turnover 12.01 12.17 12.17 n.a
Payment Days 27 28 27 n.a
Total Asset Turnover 4.31 4.37 3.05 n.a
Debt Ratios
Debt to Net Worth 0.00 2.93 0.57 n.a
Current Liab. to Liab. 0.10 0.13 0.19 n.a
Liquidity Ratios
Net Working Capital $50,843 $61,866 $116,121 n.a
Interest Coverage -0.28 6.57 22.89 n.a
Additional Ratios
Assets to Sales 0.23 0.23 0.33 n.a
Current Debt/Total Assets 10% 10% 7% n.a
Acid Test 9.73 10.18 14.59 n.a
Sales/Net Worth 0.00 17.18 4.78 n.a
Dividend Payout 0.00 0.00 0.00 n.a
Sales ForecastMont
h 1Month
2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12SalesMemberships
0% $0 $5,00
0 $6,000
$10,000
$11,000
$12,000
$12,000
$13,000
$14,000
$14,000
$14,000
$13,000
Personal Trainers
0% $0 $4,00
0 $7,000
$10,000
$10,000
$12,000
$12,000
$12,000
$12,000
$13,000
$14,000
$14,000
Total Sales $0 $9,00
0 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,000
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
Memberships
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Personal Trainers
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Direct Cost of Sales
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Personnel PlanMonth
1Month
2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12Operations Manager/Lead
0%
$3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
TrainerPersonal Trainers
0%
$6,000 $6,000 $6,000 $6,000 $6,000 $6,000 $9,000 $9,000 $9,000 $9,000 $9,000 $9,000
Childcare Staff0
%$3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Receptionist/Clerk
0%
$1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600 $1,600
Total People 6 6 6 6 6 6 9 9 9 9 9 9
Total Payroll$13,60
0 $13,60
0 $13,60
0 $13,60
0 $13,60
0 $13,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0
General AssumptionsMonth
1Month
2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12Plan 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% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% Other 0 0 0 0 0 0 0 0 0 0 0 0
Pro Forma Profit and Loss
Month 1 Month 2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12
Sales $0 $9,000 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,00
0 Direct Cost of Sales
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Other Production Expenses
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Cost of Sales
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Gross Margin
$0 $9,000 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,00
0 Gross Margin %
0.00% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
% 100.00
%
ExpensesPayroll $13,600 $13,600 $13,60 $13,60 $13,60 $13,60 $16,60 $16,60 $16,60 $16,60 $16,60 $16,60
0 0 0 0 0 0 0 0 0 0 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
Leased Equipment
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Utilities $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 $400 Insurance $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 $200 Rent $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 $2,000 Payroll Taxes
15%
$2,040 $2,040 $2,040 $2,040 $2,040 $2,040 $2,490 $2,490 $2,490 $2,490 $2,490 $2,490
Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Operating Expenses
$18,740 $18,740 $18,74
0 $18,74
0 $18,74
0 $18,74
0 $22,19
0 $22,19
0 $22,19
0 $22,19
0 $22,19
0 $22,19
0
Profit Before Interest and Taxes
($18,740)
($9,740)($5,740
)$1,260 $2,260 $5,260 $1,810 $2,810 $3,810 $4,810 $5,810 $4,810
EBITDA($18,74
0)($9,740)
($5,740)
$1,260 $2,260 $5,260 $1,810 $2,810 $3,810 $4,810 $5,810 $4,810
Interest Expense
$495 $489 $484 $478 $473 $468 $462 $457 $451 $446 $440 $435
Taxes Incurred
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Net Profit($19,23
5)($10,22
9)($6,224
)$782 $1,787 $4,793 $1,348 $2,353 $3,359 $4,364 $5,370 $4,375
Net Profit/Sales
0.00% -
113.66%
-47.88%
3.91% 8.51% 19.97% 5.62% 9.41% 12.92% 16.16% 19.18% 16.20%
Pro Forma Cash Flow
Month 1 Month 2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12
Cash Receive
d
Cash from Operations
Cash Sales $0 $9,000 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,00
0
Subtotal Cash from Operations
$0 $9,000 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,00
0
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 $0 $0 $0 $0 $0 $0 $0 $0
Subtotal Cash Received
$0 $9,000 $13,00
0 $20,00
0 $21,00
0 $24,00
0 $24,00
0 $25,00
0 $26,00
0 $27,00
0 $28,00
0 $27,00
0
Expenditures
Month 1 Month 2Month
3Month
4Month
5Month
6Month
7Month
8Month
9Month
10Month
11Month
12
Expenditures from Operations
Cash Spending
$13,600 $13,600 $13,60
0 $13,60
0 $13,60
0 $13,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0 $16,60
0
Bill Payments
$188 $5,634 $5,629 $5,624 $5,618 $5,613 $5,622 $6,052 $6,046 $6,041 $6,036 $6,030
Subtotal Spent on Operations
$13,788 $19,234 $19,22
9 $19,22
4 $19,21
8 $19,21
3 $22,22
2 $22,65
2 $22,64
6 $22,64
1 $22,63
6 $22,63
0
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
$650 $650 $650 $650 $650 $650 $650 $650 $650 $650 $650 $650
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
$14,438 $19,884 $19,87
9 $19,87
4 $19,86
8 $19,86
3 $22,87
2 $23,30
2 $23,29
6 $23,29
1 $23,28
6 $23,28
0
Net Cash Flow
($14,438)
($10,884)
($6,879)
$126 $1,132 $4,137 $1,128 $1,698 $2,704 $3,709 $4,714 $3,720
Cash Balance
$51,362 $40,478 $33,59
9 $33,72
5 $34,85
7 $38,99
4 $40,12
2 $41,82
0 $44,52
4 $48,23
3 $52,94
7 $56,66
7
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
AssetsStarting Balances
Current Assets
Cash$65,80
0 $51,36
2 $40,47
8 $33,59
9 $33,72
5 $34,85
7 $38,99
4 $40,12
2 $41,82
0 $44,52
4 $48,23
3 $52,94
7 $56,667
Other Current Assets
$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Total Current Assets
$65,800
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,667
Long-term Assets
Long-term $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0
Assets
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
$65,800
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,667
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 $5,447 $5,442 $5,436 $5,431 $5,426 $5,421 $5,850 $5,845 $5,840 $5,835 $5,829 $5,824
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 $5,447 $5,442 $5,436 $5,431 $5,426 $5,421 $5,850 $5,845 $5,840 $5,835 $5,829 $5,824
Long-term Liabilities
$60,000
$59,350
$58,700
$58,050
$57,400
$56,750
$56,100
$55,450
$54,800
$54,150
$53,500
$52,850
$52,200
Total Liabilities
$60,000
$64,797
$64,142
$63,486
$62,831
$62,176
$61,521
$61,300
$60,645
$59,990
$59,335
$58,679
$58,024
Paid-in Capital
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
$100,000
Retained Earnings
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
($94,200)
Earnings $0 ($19,23
5)($29,46
4)($35,68
8)($34,90
6)($33,11
9)($28,32
6)($26,97
8)($24,62
5)($21,26
6)($16,90
2)($11,53
3)($7,158
)
Total Capital
$5,800 ($13,43
5)($23,66
4)($29,88
8)($29,10
6)($27,31
9)($22,52
6)($21,17
8)($18,82
5)($15,46
6)($11,10
2)($5,733
)($1,358
)
Total Liabilities and Capital
$65,800
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,667
Net Worth $5,800 ($13,43
5)($23,66
4)($29,88
7)($29,10
6)($27,31
9)($22,52
6)($21,17
8)($18,82
5)($15,46
6)($11,10
2)($5,732
)($1,357
)