Assume you are starting a babysitting business, prepare a three year forecast for the following financial statements. The investment is $380,000

They want a 5yr loan of $545,000

They project the sales for the first year will be $600,000 and should increase because they hope to take on 10 more people. There are 2 other day cares in the area, however they close early so our daycare has an advantage.

Marketing Outline STARTUP COSTS Cost EQUIPMENT CAPITAL COSTSCOSTO Plants Trademas ters Membership fees Solicitor fees antallas cost Rent avancerepost) U conctions bonds (Electricity gas, water) Stockw materiais Printing Stationery office supplies Total start-up costs Total equipment / capital costs Copyright 2010 Pearson Education, Inc. Marketing Outline TYear 1 Year 2 (Year 3) BALANCE SHEET FORECAST Current assets cash Petty cash Inventory Pre-paid expenses Fixed assets Leasehold Property land Renovations/improvements Furniture & Fitout Vehicles Equipment/tools Computer equipment More Total assets Current/short-term liabilitie Credit Cards payable Accounts payable Interest payable Accred wages Income tax More Long-term liabilities Loans More Total liabilities NET ASSETS PROPIT E LOSS FORECAST Sales less cost of goods sold More Gross prontet sales Accountant fees Advertising & marketing Bank fees charges Bank interest Credit card fees Utilities (electricity, gas, water) Telephone Lease/loan payments Rent rates Motor vehicle expenses Repairs maintenance Stationery B printing Insurance Superannuation Income tax Wages (including PAYG) More... Total expenses $0 NET PROFIT Copyright 2010 Pearson Education, Inc. Marketing Outline EXPECTED CASHFLOW OPENENG BALANCE purchases (Stock ate) Accountant fees Advertis i ng de candles rates Hoorn Stationery W PAYG) Total M y cash balance CLOSING BALANCE Break-even analysis BREAK-EVEN CALCULATOR Timeframe (e.g. monthly/yearly) Average price of each product/service sold Average cost of each product/Service to make/deliver Fixed costs for the month/year Percentage of price that is profit Total sales needed to break-even Number of units sold needed to break-even Marketing Outline STARTUP COSTS Cost EQUIPMENT CAPITAL COSTSCOSTO Plants Trademas ters Membership fees Solicitor fees antallas cost Rent avancerepost) U conctions bonds (Electricity gas, water) Stockw materiais Printing Stationery office supplies Total start-up costs Total equipment / capital costs Copyright 2010 Pearson Education, Inc. Marketing Outline TYear 1 Year 2 (Year 3) BALANCE SHEET FORECAST Current assets cash Petty cash Inventory Pre-paid expenses Fixed assets Leasehold Property land Renovations/improvements Furniture & Fitout Vehicles Equipment/tools Computer equipment More Total assets Current/short-term liabilitie Credit Cards payable Accounts payable Interest payable Accred wages Income tax More Long-term liabilities Loans More Total liabilities NET ASSETS PROPIT E LOSS FORECAST Sales less cost of goods sold More Gross prontet sales Accountant fees Advertising & marketing Bank fees charges Bank interest Credit card fees Utilities (electricity, gas, water) Telephone Lease/loan payments Rent rates Motor vehicle expenses Repairs maintenance Stationery B printing Insurance Superannuation Income tax Wages (including PAYG) More... Total expenses $0 NET PROFIT Copyright 2010 Pearson Education, Inc. Marketing Outline EXPECTED CASHFLOW OPENENG BALANCE purchases (Stock ate) Accountant fees Advertis i ng de candles rates Hoorn Stationery W PAYG) Total M y cash balance CLOSING BALANCE Break-even analysis BREAK-EVEN CALCULATOR Timeframe (e.g. monthly/yearly) Average price of each product/service sold Average cost of each product/Service to make/deliver Fixed costs for the month/year Percentage of price that is profit Total sales needed to break-even Number of units sold needed to break-even