Prepare a financial projection for a startup company. please include charts and diagram.

mainly touch on the following topics:

expenses breakdown

income breakdown venue cost breakdown

Sales breakdown

Startup cost and pre-launch cost breakdown

wages cost breakdown

Break even analysis.

You can use the following images as a sample

FINANCIAL PROJECTIONS The following statements include both pre-launch and operational costs. Considering the cash flow statement (See appendix 9), MOUDA's financial year starts in December and ends in November. Provided Cash Flow statement covers the calendar period of years 2019 - 2022, which are the first three years of MOUDA's operations in the market. The pre-launch is processed in the month of December' 19 only, which is the first month in MOUDA's Cash Flow Statement. Internal capital introduced is 900,000 dirhams which is an appropriate amount to cover all initial costs and support MOUDA till break-even point. During the pre-launch stage, the totality of legal, organizational and functional preparations be completed and cost MOUDA 305,299 Dirhams, which will be covered 22 by the internal capitalization. The greatest pre-launch cost is the application creation cost - AED 200,000. Expenses breakdown (initial- 1st year) Staff Cost 3%% 19% 6% Operational cost 6% Office / Administrative cost 19 . PR/ Marketing cost Taxes & charges Wages for tailors, designers 79%% (80) Application cost Before break-even point (Jan 22), MOUDA will not have external investors as the break-even point occurs in the third year only, which is insufficient for the share interest repayments. MOUDA's team does not exclude the possibility of inviting external investors after the break-even point or applying for a bank loan to expand MOUDA geographically or in other ways. MOUDA's Financial Department allocated monthly budgets for the following expenses - printing/stationery and mobile telecommunications with suggested budgets of 50 dirhams and 250 dirhams respectively. MOUDA's revenue stream is encompassed by these crucial elements: subscription sales (46%), clothing sales (45%) and delivery fee (9%). Income Breakdown (on average, 1st Income breakdown (on average, 3rd year) year) 15%% Delivery fee Delivery fee 45% "Subscription fee 54% Clothing sales Clothing salesStart-up and Pre-launch Costs The organisation's start-up costs include creation of an application, legal costs, pre-launch event, transactional marketing and PR costs. Legal costs include the DMCC free-zone Trade License purchase, which costs 14,999 dirhams initially. The following annual license renewal cost will be slightly lower than the opening cost and is 12,045 dirhams per year. The pre-launch event organisation cost is 38,000 dirhams. This event cost includes venue rent, invited DJ and Instagram influencers, snacks, hostesses and catering staff. MOUDA's transactional marketing strategy embrace building strong working relationship with social media influencers on the paid basis and that will cost 15,800 initially. Wages Costs Corporate wages are a subject for negotiations and as a result, it was decided that each internal employee will receive AED 2,500 monthly, which results in 15,000 dirhams per_month altogether for 6 employees. These wages are the essential part of corporate structure and are a necessity in case MOUDA applies for a corporate bank loan or MOUDA's employee would apply for a personal bank loan. Therefore, these wages create an appropriate financial support for these scenarios as they form a revenue stream for employees in case of a bank revision of financial history. Revenue vis-a-vis Staff Cost 900 000 812 620 800 000 700 000 600 000 500 000 400 000 Staff Cost 249% 58% 309 992 22% 300 000 Revenue per year 180 000 180 000 180 000 200 000 100 000 72 274 Year 1 19/20 Year 2 20/21 Year 3 21/22 25 Venue Costs Totality of venue costs are covered by monthly payments of AED 1,500 to AstroLabs services, which provide desk-space as well as Wi-Fi connection. All DEWA payments are included in monthly payments. AstroLab offices are located in DMCC free-zone and have a metro station nearby. AstroLab desk-space rental will cost MOUDA 18,000 per year.Break-Even Analysis The break-even calculations (see appendix 10) are happening with the following conditions, which are reflected in the Cash Flow statement: The first three months of operations do not bring any revenue. By break-even point (Jan'22), MOUDA should have five contract-based relationships with institutions, such as Dubai Institute of Fashion and Innovations, each will bring AED 5,000 monthly while the contract lasts. By break-even point, MOUDA must have at least thirty subscribers, each paying AED 365 monthly and MOUDA should perform at least twenty paid deliveries per month, each bringing AED 20. Total clothing sales in break-even month must equal at least 22,620 AED and will contribute to break-even if all other stated conditions are sustained and performed well. Calculations of break-even were done in accordance with the BE units = Fixed Costs/Contribution margin formula. Taking the month Jan'22 to consideration, fixed costs are: application maintenance, rent, stationary and telecommunication budgets, wages and marketing budget. These costs total in 34200 AED. Contribution margin is taken as an average margin since MOUDA retails a significant and distinctive product lines with differentiated pricings. Therefore, an average contribution margin equals 15/ AED. As a result, break-even units = 34200/151 = 226.4 or 226 units sold. According to Cash Flow standard scenario, MOUDA will break even in the third year of operations in January 2022. To fulfill the Revenue= FC+VC break-even equation, 226 units of production must be sold and total in 52,884 AED revenue, resulting in zero profits after covering 34,200 AED (fixed costs) and 18.684 AED ( variable cost of 82.7 AED per unit). 26 Standard break even scenario - Mouda 140000 Dubai 120000 100000 Revenue/Costs (AED 80000 60000 40000 20000 50 100 150 200 250 300 350 400 450 500 Units Sold -Fixed costs - Total costs -Sales income KEY MILESTONES Create a strong business model to abide by. Establish customer loyalty. Develop an effective marketing strategy. Increase staff. Reach sales worth AED 390,000Income Breakdown (on average, 1st Income breakdown (on average, 3rd year) year) 15% Delivery fee Delivery fee 45% #Subscription fee Subscription fee 54% Clothing sales . Clothing sales 23 The payment of 80% commission from clothing sales to tailors and designers is an increasing and sales oriented cost for MOUDA. In the third year, MOUDA will pay 317,008 dirhams to tailors/designers out of the third year sales amount of 396,260 dirhams. Sales Revenue vis-a-vis Commision Costs ( first three years) 450 000 396 260 4DD DDD 350 000 317008 300 000 250 000 Commision cost 200 000 80% 136 692 Sales Revenue 150 000 109 354 100 000 36 443 45 554 50 000 Year 1 19/20 Year 2 20/21 Year 3 21/22 All surplus amount of cash at the end of the financial year is re-invested in MOUDA's further expansion and development. Excluding the pre-launch month, MOUDA will have a fixed amount of 1 1, 150 dirhams budgeted for the PR/Marketing activities. MOUDA aims to spend this amount on Public Relations actions. After the third year of operations, MOUDA plans to reduce both marketing expenses and 80% commission to outsourced employees like tailors and designers. Expenses breakdown ( after app launch - 2nd year and on) Staff Cost Operational cost 43% Office / Administrative cost PR/ Marketing cost 10% Taxes & charges 18% Wages for tailors, designers IN (80%)