Physical Fitness Gym Business Plan Ladies 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
Cash Requirements from Start-up
Additional Cash Raised
$0
$65,800
$0
Cash Balance on Starting Date
$65,800
Total Assets
$65,800
Liabilities and Capital
Liabilities
Current Borrowing
Long-term Liabilities
Accounts Payable (Outstanding Bills)
$0
$60,000
$0
Other Current Liabilities (interest-free)
Total Liabilities
$0
$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
Total Capital and Liabilities
Total Funding
Start-up
$5,800
$65,800
$160,000
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
Potential Customers
Year 2
Year 3
Year 4
Year 5
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%
10.00%
17,000
18,700
20,570
22,627
24,890
10.00%
Total
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
Memberships
$124,000
$150,000
$190,000
Personal Trainers
$120,000
$150,000
$190,000
Total Sales
$244,000
$300,000
$380,000
Year 1
Year 2
Year 3
Memberships
$0
$0
$0
Personal Trainers
$0
$0
$0
Subtotal Direct Cost of Sales
$0
$0
$0
Sales
Direct Cost of Sales
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
Estimated Monthly Fixed Cost
7.2 Projected Profit and Loss The following table and charts highlight the projected profit and loss for three years.
0%
$20,465
Pro Forma Profit and Loss
Year 1
Year 2
Year 3
$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
Sales
Gross Margin
$244,000
$300,000
$380,000
Gross Margin %
100.00%
100.00%
100.00%
$181,200
$199,200
$214,000
$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
$0
$0
$0
$245,580
$268,280
$287,300
Profit Before Interest and Taxes
($1,580)
$31,720
$92,700
EBITDA
($1,580)
$31,720
$92,700
Expenses
Payroll
Sales and Marketing and Other Expenses
Other
Total Operating Expenses
Interest Expense
$5,578
$4,830
$4,050
$0
$8,067
$26,595
Net Profit
($7,158)
$18,823
$62,055
Net Profit/Sales
-2.93%
6.27%
16.33%
Taxes Incurred
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 Sales
$244,000
$300,000
$380,000
Subtotal Cash from Operations
$244,000
$300,000
$380,000
Cash Received
Cash from Operations
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
$244,000
$300,000
$380,000
Year 1
Year 2
Year 3
$181,200
$199,200
$214,000
$64,133
$81,063
$102,139
$245,333
$280,263
$316,139
Subtotal Cash Received
Expenditures
Expenditures from Operations
Cash Spending
Bill Payments
Subtotal Spent on Operations
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
$7,800
$7,800
$7,800
Purchase Other Current Assets
$0
$0
$0
Purchase Long-term Assets
$0
$0
$0
Dividends
$0
$0
$0
$253,133
$288,063
$323,939
Net Cash Flow
($9,133)
$11,937
$56,061
Cash Balance
$56,667
$68,603
$124,664
Long-term Liabilities Principal Repayment
Subtotal Cash Spent
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
$56,667
$68,603
$124,664
Assets
Current Assets
Cash
Other Current Assets
$0
$0
$0
$56,667
$68,603
$124,664
Long-term Assets
$0
$0
$0
Accumulated Depreciation
$0
$0
$0
Total Long-term Assets
$0
$0
$0
$56,667
$68,603
$124,664
Year 1
Year 2
Year 3
Accounts Payable
$5,824
$6,738
$8,543
Current Borrowing
$0
$0
$0
Other Current Liabilities
$0
$0
$0
$5,824
$6,738
$8,543
Long-term Liabilities
$52,200
$44,400
$36,600
Total Liabilities
$58,024
$51,138
$45,143
Total Current Assets
Long-term Assets
Total Assets
Liabilities and Capital
Current Liabilities
Subtotal Current Liabilities
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
Sales Growth
Year 1
Year 2
Year 3
Industry Profile
0.00%
22.95%
26.67%
15.90%
Percent of Total Assets
Other Current Assets
0.00%
0.00%
0.00%
31.10%
100.00%
100.00%
100.00%
39.00%
0.00%
0.00%
0.00%
61.00%
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%
102.40%
74.54%
36.21%
62.40%
-2.40%
25.46%
63.79%
37.60%
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%
2.46%
2.67%
2.63%
2.40%
-0.65%
10.57%
24.39%
2.70%
Total Current Assets
Long-term Assets
Total Assets
Total Liabilities
Net Worth
Percent of Sales
Advertising Expenses
Profit Before Interest and Taxes
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
12.01
12.17
12.17
n.a
27
28
27
n.a
4.31
4.37
3.05
n.a
Debt to Net Worth
0.00
2.93
0.57
n.a
Current Liab. to Liab.
0.10
0.13
0.19
n.a
Activity Ratios
Accounts Payable Turnover
Payment Days
Total Asset Turnover
Debt Ratios
Liquidity Ratios
Net Working Capital
$50,843
$61,866
$116,121
n.a
-0.28
6.57
22.89
n.a
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
Interest Coverage
Additional Ratios
Sales Forecast Month Month Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 1 2 Sales Memberships Personal Trainers Total Sales
Month 10
Month Month 12 11
0%
$0 $5,000
$6,000 $10,000 $11,000 $12,000 $12,000 $13,000 $14,000 $14,000 $14,000 $13,000
0%
$0 $4,000
$7,000 $10,000 $10,000 $12,000 $12,000 $12,000 $12,000 $13,000 $14,000 $14,000
Direct Cost of Sales Memberships Personal Trainers Subtotal Direct Cost of Sales
$0 $9,000 $13,000 $20,000 $21,000 $24,000 $24,000 $25,000 $26,000 $27,000 $28,000 $27,000 Month Month Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 1 2 $0 $0 $0 $0 $0 $0 $0 $0 $0
Month 10 $0
Month Month 12 11 $0 $0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Month 10
Month 11
$0
Personnel Plan Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9
Operations 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 Trainer Personal Trainers 0% $6,000 $6,000 $6,000 $6,000 $6,000 $6,000 $9,000 $9,000 $9,000 $9,000 $9,000 Childcare Staff 0% $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000 $3,000
Month 12 $3,000 $9,000 $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 Total People 6 6 6 6 6 6 9 9 9 9 9 Total Payroll
$13,600 $13,600 $13,600 $13,600 $13,600 $13,600 $16,600 $16,600 $16,600 $16,600 $16,600 $16,600
General Assumptions Month Month Month Month Month Month Month Month Month Month Month 1 2 3 4 5 6 7 8 9 10 11 Plan Month Current Interest Rate Longterm Interest Rate Tax Rate Other
1
2
3
4
5
6
7
8
9
10
11
Month 12 12
10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%
10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 0 0 0 0 0 0 0 0 0 0 0 0
Pro Forma Profit and Loss Month Month Month Month Month Month Month Month Month Month 3 4 5 6 7 8 9 10 11 12 $13,00 $20,00 $21,00 $24,00 $24,00 $25,00 $26,00 $27,00 $28,00 $27,00 $0 $9,000 0 0 0 0 0 0 0 0 0 0
Month 1 Month 2 Sales Direct Cost of Sales Other Production Expenses Total Cost of Sales Gross Margin Gross Margin %
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$13,00 $20,00 $21,00 $24,00 $24,00 $25,00 $26,00 $27,00 $28,00 $27,00 0 0 0 0 0 0 0 0 0 0 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 % % % % % % % % % % %
$0 $9,000 0.00%
Expenses Payroll Sales and Marketing and Other Expenses Depreciati on
$1,600 9
$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
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$500
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Leased $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Equipment 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 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 Taxes % Other $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 Total Operating Expenses
$18,740 $18,740
Profit Before Interest and Taxes
($18,74 ($5,740 ($9,740) $1,260 $2,260 $5,260 $1,810 $2,810 $3,810 $4,810 $5,810 $4,810 0) )
EBITDA
($18,74 ($5,740 ($9,740) $1,260 $2,260 $5,260 $1,810 $2,810 $3,810 $4,810 $5,810 $4,810 0) )
Interest Expense Taxes Incurred
$18,74 $18,74 $18,74 $18,74 $22,19 $22,19 $22,19 $22,19 $22,19 $22,19 0 0 0 0 0 0 0 0 0 0
$495
$489
$484
$478
$473
$468
$462
$457
$451
$446
$440
$435
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
Net Profit
($19,23 ($10,22 ($6,224 5) 9) )
Net Profit/Sale s
0.00%
$782 $1,787 $4,793 $1,348 $2,353 $3,359 $4,364 $5,370 $4,375
-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 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9
Month 10
Month 11
Month 12
Cash Receive d
Cash from Operations
Cash Sales
$0
$9,000 $13,000 $20,000 $21,000 $24,000 $24,000 $25,000 $26,000 $27,000 $28,000 $27,000
Subtotal Cash from Operations
$0
$9,000 $13,000 $20,000 $21,000 $24,000 $24,000 $25,000 $26,000 $27,000 $28,000 $27,000
Additional Cash Received
Sales Tax, VAT, HST/GST Received
$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 Longterm 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
Expenditures
0.00%
$9,000 $13,000 $20,000 $21,000 $24,000 $24,000 $25,000 $26,000 $27,000 $28,000 $27,000
Month 10
Month 11
Month 12
Month 1
Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9
$13,600
$13,600 $13,600 $13,600 $13,600 $13,600 $16,600 $16,600 $16,600 $16,600 $16,600 $16,600
Expenditures from Operations
Cash
Spending
Bill Payments
Subtotal Spent on Operations
$188
$13,788
$5,634
$5,629 $5,624 $5,618 $5,613 $5,622 $6,052 $6,046 $6,041 $6,036
$6,030
$19,234 $19,229 $19,224 $19,218 $19,213 $22,222 $22,652 $22,646 $22,641 $22,636 $22,630
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 $19,879 $19,874 $19,868 $19,863 $22,872 $23,302 $23,296 $23,291 $23,286 $23,280
Net Cash Flow
Cash Balance
($14,438) ($10,884) ($6,879)
$51,362
$126 $1,132 $4,137 $1,128 $1,698 $2,704 $3,709 $4,714
$3,720
$40,478 $33,599 $33,725 $34,857 $38,994 $40,122 $41,820 $44,524 $48,233 $52,947 $56,667
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
$65,800
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,66
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$0
$
$65,800
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,66
Long-term Assets
$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
$
Total Longterm Assets
$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
$56,66
Assets
Starting Balances
Current Assets
Cash
Other Current Assets
Total Current Assets
Long-term Assets
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
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
$5,82
Current Borrowing
$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
$
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
$5,82
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
$52,20
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
$58,02
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 $100,00
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) ($94,20
Earnings
Total Capital
$0 ($19,235) ($29,464) ($35,688) ($34,906) ($33,119) ($28,326) ($26,978) ($24,625) ($21,266) ($16,902) ($11,533)
($7,15
$5,800 ($13,435) ($23,664) ($29,888) ($29,106) ($27,319) ($22,526) ($21,178) ($18,825) ($15,466) ($11,102) ($5,733)
($1,35
Total Liabilities and $65,800 Capital
Net Worth
$51,362
$40,478
$33,599
$33,725
$34,857
$38,994
$40,122
$41,820
$44,524
$48,233
$52,947
$56,66
$5,800 ($13,435) ($23,664) ($29,887) ($29,106) ($27,319) ($22,526) ($21,178) ($18,825) ($15,466) ($11,102) ($5,732)
($1,35
