Floral Magic (FM) is a chain of 6 flower shops that operate in the greater Toronto area. They have two main lines of business. Walk-in customers buy whatever is available in the store that day.Special order customers select flower arrangements from the in-store and on-line catalogues. The special order is prepared and is either picked up by the customer or is delivered at the customer's cost.

Each store is open to the public 6 days per week for 9 hours a day.

There are precisely 30 weeks included in the YTD numbers to the end of July, 2019

Walk-in traffic is very seasonal.In December (Christmas), May (Mother's Day), and February (Valentine's Day) 240 customers a week per store, while most other times of the year there are only 120 customers a week per store.Walk-in customers usually spend $75 on a purchase. These prices are not expected to rise in 2020, but walk-in business has been losing about 15 customers a week the last few years and this trend is expected to continue.

7 m actual 2019 Proj 2020 Budget

Walk-In $2,171,000 A B

Special order sales are steadier. There are usually 60 special orders sold per store per week.These arrangements are more elaborate and sell for $150 on average.Industry trends call for prices to increase by $10 in 2020.

7 m actual 2019 Proj 2020 Budget

Special Order $1,573,000 C D

There are 4 employees in each store, while the store is open.Most employees have been with FM for a long time and average $22 an hour including all benefits.This is expected to increase by $1 in March next year.

7 m actual 2019 Proj 2020 Budget

Wages $206,840 E F