Break-even analysis

Projected sales for the first year

Start up summary (cash requirements / start up expenses)

Projected profit and loss for the first year (each month)

Provide a profit/loss (income) statement

Costs must be based on your research. They must be realistic.

Pro-forma cash flow statement for the first year

Monthly Revenue Break-even	$31,232.90
Daily 30.42 days	135.27 units
Daily Revenue	$1,026.72
Assumption Per-Unit Revenue (espresso + sandwich)	$8.75
Average Per-Unit Variable Cost (espresso + sandwich	$1.16
Estimated Monthly Fixed Cost	$31,232.86

Create a balance sheet

and an income statement

Sales Forecast

January

February

March

April

May

June

July

August

September

October

November

December

Unit Sales

Coffee

7000.00

7560.00

8164.80

8817.98

9523.42

10285.30

11108.12

11996.77

12956.51

13993.03

15112.47

16321.47

Espresso

100.00

108.00

116.64

125.97

136.05

146.93

158.69

171.38

185.09

199.90

215.89

233.16

Latte

100.00

108.00

116.64

125.97

136.05

146.93

158.69

171.38

185.09

199.90

215.89

233.16

Sandwiches

200.00

216.00

233.28

251.94

272.10

293.87

317.37

342.76

370.19

399.80

431.78

466.33

Total Unit of Sales

7400.00

7992.00

8631.36

9321.87

10067.62

10873.03

11742.87

12682.30

13696.88

14792.63

15976.04

17254.13

Coffee

0.10

0.10

0.10

0.10

0.10

0.10

0.10

0.10

0.10

0.10

0.10

0.10

Espresso

1.50

1.50

1.50

1.50

1.50

1.50

1.50

1.50

1.50

1.50

1.50

1.50

Latte

0.16

0.16

0.16

0.16

0.16

0.16

0.16

0.16

0.16

0.16

0.16

0.16

Sandwiches

1.00

1.00

1.00

1.00

1.00

1.00

1.00

1.00

1.00

1.00

1.00

1.00

Total Variable Cost Prices per Unit

2.76

2.76

2.76

2.76

2.76

2.76

2.76

2.76

2.76

2.76

2.76

2.76

Coffee

700.00

756.00

816.48

881.80

952.34

1028.53

1110.81

1199.68

1295.65

1399.30

1511.25

1632.15

Espresso

150.00

162.00

174.96

188.96

204.07

220.40

238.03

257.07

277.64

299.85

323.84

349.75

Latte

16.00

17.28

18.66

20.16

21.77

23.51

25.39

27.42

29.61

31.98

34.54

37.31

Sandwiches

200.00

216.00

233.28

251.94

272.10

293.87

317.37

342.76

370.19

399.80

431.78

466.33

Total Variable Cost Sales

1066.00

1151.28

1243.38

1342.85

1450.28

1566.30

1691.61

1826.94

1973.09

2130.94

2301.41

2485.53

Coffee

2.45

2.45

2.45

2.45

2.45

2.45

2.45

2.45

2.45

2.45

2.45

2.45

Espresso

4.45

4.45

4.45

4.45

4.45

4.45

4.45

4.45

4.45

4.45

4.45

4.45

Latte

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

Sandwiches

4.25

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

4.15

Total Sale Price per Unit

15.30

15.20

15.20

15.20

15.20

15.20

15.20

15.20

15.20

15.20

15.20

15.20

Coffee

17150.00

18522.00

20003.76

21604.06

23332.39

25198.98

27214.89

29392.09

31743.45

34282.93

37025.56

39987.61

Espresso

445.00

480.60

519.05

560.57

605.42

653.85

706.16

762.65

823.66

889.56

960.72

1037.58

Latte

415.00

448.20

484.06

522.78

564.60

609.77

658.55

711.24

768.14

829.59

895.95

967.63

Sandwiches

850.00

896.40

968.11

1045.56

1129.21

1219.54

1317.11

1422.47

1536.27

1659.17

1791.91

1935.26

Total Sales

18860.00

20347.20

21974.98

23732.97

25631.61

27682.14

29896.71

32288.45

34871.53

37661.25

40674.15

43928.08

Profit and Loss

Sales

18860.00

20347.20

21974.98

23732.97

25631.61

27682.14

29896.71

32288.45

34871.53

37661.25

40674.15

43928.08

Direct Costs of Sales

1066.00

1151.28

1243.38

1342.85

1450.28

1566.30

1691.61

1826.94

1973.09

2130.94

2301.41

2485.53

Total Cost of Sales

1066.00

1151.28

1243.38

1342.85

1450.28

1566.30

1691.61

1826.94

1973.09

2130.94

2301.41

2485.53

Gross Margin

17794.00

19195.92

20731.59

22390.12

24181.33

26115.84

28205.10

30461.51

32898.43

35530.31

38372.73

41442.55

Gross Margin %

0.94

0.94

0.94

0.94

0.94

0.94

0.94

0.94

0.94

0.94

0.94

0.94

Payroll

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

12898.08

Marketing/Promotion

9000

9000

9000

9000

9000

9000

9000

9000

9000

9000

9000

9000

Depreciation

4050

4050

4050

4050

4050

4050

4050

4050

4050

4050

4050

4050

Rent

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

7124.78

Utilities

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

1500

Insurance

710

710

710

710

710

710

710

710

710

710

710

710

Total Operating Expence

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

35282.86

Cash sales

18860.00

20347.20

21974.98

23732.97

25631.61

27682.14

29896.71

32288.45

34871.53

37661.25

40674.15

43928.08

Balance Sheet

Cash

200000

Inventory

Total Current Assets

Long Term Asset

Equipment

40500

Total Assets

Liability

Equity

Capital

Retained Earnings

Income Statement

Income

Total Revenue

Cost of Revenue

Gross Profit

Operating Expenses

Selling General and Administrative

53581.56

Non Recurring

28,124.78

Depreciation Expense

4050 (40500/10)

Total Expenses

Net Profit