Business Plan (0)

“Your Fitness ”
Business Plan
Prepared May 2012
Contact Information
name
email
phone

Executive Summary

“Your Fitness” it is envisaged, will be the third extension of “The Muscle Shop” company’s development strategy. Extensive research over the last two years has gleaned information to suggest this project would be successful project. The new gym will create a personalized environment for both females and males, for all fitness levels, to pursue their sporting , competition and personal fitness goals. A special focus will be paid by creating heavy weight lifting capabilities and equipment for professional body builders. This new gym facility will serve people in Dublin ……. area which include …………., …………… and …………... The area has a some sports and fitness clubs, however ,”Your Fitness” has the
unique ability to cater to all the fitness level form, amateur to professional body builders , in a friendly atmosphere that ensures safety and professional guidance from our committed staff and members .
This plan will be used to define the scope of our services , as well as a means of gaining the necessary investments to open the facility. It will also be used on a continual basis in the evaluation of company’s mission, goals, and objectives.
“The Muscle Shop” was established in 2010 by M………. A……….. M………, has the added responsibility for the sports supplement shop, and the two web based shops www…………...ie and www………………..ie
Due to growing success, M…………. decided to expand the business by opening a new tanning and beauty salon. Rooms for new salon were renovated and purpose built beside the sport supplement shop and the main customers of the new facilities are utilised and enjoyed by a wide variety of clientele. Business has prospered and has proven to be a success to date . Positive feedback from customers via a survey showed that there is demand on the market for sport and fitness gym among those professional body builders whose training program assumes heavy weight training facilities. Currently the maximum weight lifting possibilities are up to 60 kg in dumbbell comparison, provided by other gyms in Dublin. M………….. A……………, owner of “The Muscle Shop”, has a proven track record for the past ten years as a professional body builder.
M……….. will create “Your Fitness” in order to fill the gap identified in this country, for this level of body building . This much needed facility will cater for the advanced levels for many years to come.
“Your Fitness” will focus on professionals who are looking for fitness environment that is focused on their unique needs and will bring the maximum possibilities higher than any other gym service providers.
According to “Your Fitness” business strategy it is important to bring together different fitness levels, to encourage the beginners and create special conditions for professional weight lifters, a multi-disciplined system where the novice is mentored by the professional in a friendly atmosphere.
The recent fitness industry statistics provided by IHRSA (International Health, Racquet and Sports club Association ) shows that the industry continues to grow during economic downturns. Whereas during the economic downturns most retail and hospitality businesses experience contraction, the health club industry has, over the past 20 years ( including three recessions), continued to grow steadily. The health club industry will continue to enjoy strong growth for at least the next ten years. External forces—the media, government and the medical community—both support and encourage the public to exercise regularly.
The keys to success for “Your Fitness” is M………..’s ability to market effectively, creating an unmatched "cool" atmosphere where people will like to be, and hiring qualified/certified and knowledgeable staff to aid in the running of new fitness classes and individual programs safely and to all levels of fitness for the client.
“Your Fitness” is conservatively projecting a strong net profit in its first year of operation with this number increasing significantly by the end of year three.

Financial Summary

“Your Fitness” will expect to fund itself largely thought a loan and owner’s own cash reserve for the renovation of new rooms, purchase of the new gym machines and equipment.
The funds needed include:

• 4000 EUR for purchase of building equipment
  
• 40 000 EUR for gym machines and equipment
  
• 1000 EUR for marketing and advertising
  

Sales of the memberships expected to start conservatively the first year and increase steadily through the third year of operations. Operating income will pay back the start-up loan over a five year.

Company

Company Overview

Muscle Shop was established in 2010 by M………… A…………. The company’s main activity was sport supplements sale through local reputable vendors and online shops - www……………….ie and www……………….ie. In second year of operation the company was expanded by two additional services – tanning and beauty salon. An idea of third expansion of company – Your Fitness- has been based on steadily growing number of customers and the market demand for more heavy weight gym. A new company will be established as privately hold limited company and the owner and shareholder will be M…………. A………... M…………, an avid body builder himself for many years has gleaned invaluable expertise and experience with this sport has provided him with tremendous insight regarding physical fitness and its effects on the human’s body. M………….. will be able to offer credibility with his passion and experience for personal fitness and ensure clients a wonderful sport and fitness service.
This new gym, it is envisaged, will quickly generate new customers and revenue on a regular basis.

Company Locations and Facilities

“Your Fitness” is located on the south side of Dublin and it is in the postal district of Dublin ………. The owner of the company has a tentative agreement to rent new premises near the H………. C………… and it will comprise two different units . The first unit will occupy 1 200 square foot storefront and will be renovated to house main reception area. This will be planned for sport supplements shop, tanning beds and massage. The second unit will occupy 10 000 square foot behind the first unit and has one primary equipment room, three exercise rooms, shower rooms and toilets. The facility can accommodate 110 people.

Products and Services

“Your Fitness” membership services are the following :
“Your Fitness” has a professional personal training staff. Two personal trainers will provide the knowledge and expertise. Trainers are certified and have current nationally recognised First Aid and CPR certificates.
In addition to this, all trainers have specific qualification and training that enables them to provide each client with an individually designed program.
“Your Fitness” offers a large selection of fitness equipment:
* treadmills
*stepmills
*upright and recumbent bikes
*bodytrek
There will be specially designed heavy weight lifting area for those professionals who wish to train at higher levels. “Your Fitness” is also planning to provide a variety of fitness and sport classes:
*zumbo
*pilates
* boxing
The membership fees will vary according to customer status and the period she or he wish to buy the membership:
* student prices
1 month – 25 EUR, 3 months – 65 EUR, 6 months – 130 EUR, 12 months – 240 EUR
*other membership prices
1 month – 29 EUR, 3 months – 75 EUR, 6 months – 150 EUR, 12 months – 290 EUR
Special offer will be made to new members if they wish to shop in Muscle Shop or use tanning beds-beauty salon treatments.

Competitors

In south Dublin area there are other sport and fitness service providers and the main competitors of “Your Fitness” are:
*Ben Dunne gym – 270 EUR (membership per year, located in Kimmage, D12)
*RAW gym – 379 EUR (membership per year, located in South Richmond street, D6)
* Swan Leisure – 300 EUR (membership per year, located in Lower Rathimines road, D6)
After successfully selling body building products for their customers over the two years, Muscle Shop has got a feedback from its clients which show clearly that for body building professionals there are no viable options at this level of fitness in Dublin or the greater Leinster area to use heavy weight equipment facilities for competition purposes.
The unique competitive edge of “Your Fitness”, as stated, will be create sport and fitness facility that will serve both beginners and professionals.

Target Market

Market Overview

The area “Your Fitness” is planning to serve is located on the south side of Dublin and it is in the postal district of Dublin
…………..It comprises mostly residential areas and urban villages as …………….,…………. and ………….. “Your Fitness” is close to city centre area and the majority of population in this district are young professionals who evaluate the closeness of city’s heart. According to the real estate market recent surveys here has been a small growth of population in Dublin ….. which has been fuelled by the increased employment in the city’s high tech companies. This has attracted a type of young professionals that will be the target customers for “Your Fitness”.
Second target group will be professional body builders who are looking for a club that will fit their needs and offers a wide range of heavy weight training equipment.
A third clients group targeted by “Your Fitness” will be students . Dublin ……….. area has a several schools and other educational authorities which will make the “Your Fitness” plan a special offers and discounts to attract students.
Table: Market Analysis
Potential Customers
Year 1
Year 2
Year 3
Year 4
Year 5
Growth
1.Young urban professionals
600
660
726
798
877
10%
2.Bodybuilders
300
330
363
399
439
10%
3. Students
200
220
244
268
294
10%
4. Others
100
110
121
133
146
10%
Total
1200
1320
1454
1598
1756
10%

Sales Overview

Sales by Month
About the Sales Forecast
Sales projections start in the month of September 2012. Sales will be slow for the first and second month of operation, due to our “first two months student price ” promotion. After that point, sales will increase as new members pay for their membership fees. Sales steadily increase along with the awareness of the gym through October.
November traditionally has proven to be slower with sales, however, a steady rise through the Christmas season and December is regularly noted. Other similar businesses in the January and February months are traditional slow in attracting new clientele, however, in the sport and fitness disciplines these months are showing a marked rise in new clients of all ages due to “get in shape” New Year resolution plans. “Your Fitness” will be to develop programs that can ensure sales and maintain consistency in line with the rest of the sales year. The immediate goal is to achieve stable sales in the first year. It is projected that a ten percent total sales increase can be achieved and maintained throughout the three years of this business plan.

Personnel Plan

Personnel Table
FY2013
FY2014
FY2015
Personal trainer 1
12,000
14,000
15,500
Personal trainer 2
12,000
14,000
15,500
Operations manager
9,600
10,500
11,600
Accountant
4,800
5,300
5,800
Total
38,400
43,800
48,400
About the Personnel Plan
The following is the personnel plan for “Your Fitness”:

• Operations manager (M A)
  
• Personal trainers (T S, J R)
  
• Accountant
  

With the 3 staff “Your Fitness” will employ, it is projected that an increase of 10%

Budget

Expenses by Year
About the Budget
Marketing expenses will be higher in the first year to announce the opening of the gym and will drop after that. Most expenses will show small increases each year as the business will remain in the same location over the first three years.
Loans and Investments
Loans and Investments Table
FY2013
FY2014
FY2015
Bank loan
Loan at 7% interest for 60 mos.
€45,000
0
0
Investors
Loan at 3% interest for 60 mos.
€10,000
0
0
Total Amount Received
€55,000
0
0
Sources of Funds
“Your Fitness” will expect to fund itself largely thought a bank loan and use it for the renovation of new rooms, purchase of the gym machines and equipment.
Its own cash reserve and investors loan will be used for rent new premises for gym and its 3 months deposit, staff salaries and bills.
Use of Funds
The funds needed include:

• 4000 EUR for purchase of building equipment
  
• 40 000 EUR for gym machines and equipment
  
• 1000 EUR for marketing and advertising
  

These expenses are going to be covered by bank loan, the total amount of 45 000 EUR. Loan will be repaid within five years period.
Additional funds needed include:

• 12 000 EUR for a rent and 3 months deposit / 10 000 EUR investors’ money and 2000 EUR company’s own funds
  
• 2800 EUR for staff first month salaries / company’s own funds
  
• 800 EUR for first month bills / company’s own funds
  
• 600 EUR for incidental expenses / company’s own funds
  

These outgoings will be covered by investors 10 000 EUR and 6200 EUR company’s own money.

Appendix

Sales Forecast

Sales Forecast Table (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Unit Sales
1 month members hip
0
15
20
30
15
15
20
25
15
15
15
15
3 months members hip
0
0
20
20
30
30
25
20
15
15
15
10
6 months members hip
0
20
30
30
35
35
30
30
20
25
25
20
12
months members hip
0
0
25
25
40
35
35
35
25
25
25
20
Monthly for students
35
20
15
20
25
20
20
15
15
15
15
15
3 months for students
0
25
0
20
25
20
20
20
10
15
15
10
6 months for students
0
10
20
15
20
15
15
10
10
5
0
0
12
months for students
10
25
20
20
25
35
20
25
10
10
10
10
Price Per Unit
1 month members hip
€29
€29
€29
€29
€29
€29
€29
€29
€29
€29
€29
€29
3 months members hip
€75
€75
€75
€75
€75
€75
€75
€75
€75
€75
€75
€75
6 months members hip
€150
€150
€150
€150
€150
€150
€150
€150
€150
€150
€150
€150
12
months members hip
€290
€290
€290
€290
€290
€290
€290
€290
€290
€290
€290
€290
Monthly for students
€25
€25
€25
€25
€25
€25
€25
€25
€25
€25
€25
€25
3 months for students
€65
€65
€65
€65
€65
€65
€65
€65
€65
€65
€65
€65
6 months for students
€130
€130
€130
€130
€130
€130
€130
€130
€130
€130
€130
€130
12
months for students
€240
€240
€240
€240
€240
€240
€240
€240
€240
€240
€240
€240
Sales
1 month members hip
€0
€435
€580
€870
€435
€435
€580
€725
€435
€435
€435
€435
3 months members hip
€0
€0
€1,500
€1,500
€2,250
€2,250
€1,875
€1,500
€1,125
€1,125
€1,125
€750
6 months members hip
€0
€3,000
€4,500
€4,500
€5,250
€5,250
€4,500
€4,500
€3,000
€3,750
€3,750
€3,000
12
months members hip
€0
€0
€7,250
€7,250
€11,600
€10,150
€10,150
€10,150
€7,250
€7,250
€7,250
€5,800
Monthly for students
€875
€500
€375
€500
€625
€500
€500
€375
€375
€375
€375
€375
3 months for students
€0
€1,625
€0
€1,300
€1,625
€1,300
€1,300
€1,300
€650
€975
€975
€650
6 months for students
€0
€1,300
€2,600
€1,950
€2,600
€1,950
€1,950
€1,300
€1,300
€650
€0
€0
12
months for students
€2,400
€6,000
€4,800
€4,800
€6,000
€8,400
€4,800
€6,000
€2,400
€2,400
€2,400
€2,400
Total Sales
€3,275
€12,860
€21,605
€22,670
€30,385
€30,235
€25,655
€25,850
€16,535
€16,960
€16,310
€13,410
Direct Cost Per Unit
1 month members hip
€17
€17
€17
€17
€17
€17
€17
€17
€17
€17
€17
€17
3 months members hip
€55
€55
€55
€55
€55
€55
€55
€55
€55
€55
€55
€55
6 months members hip
€120
€120
€120
€120
€120
€120
€120
€120
€120
€120
€120
€120
12
months members hip
€230
€230
€230
€230
€230
€230
€230
€230
€230
€230
€230
€230
Monthly for students
€15
€15
€15
€15
€15
€15
€15
€15
€15
€15
€15
€15
3 months for students
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
6 months for students
€100
€100
€100
€100
€100
€100
€100
€100
€100
€100
€100
€100
12
months for students
€200
€200
€200
€200
€200
€200
€200
€200
€200
€200
€200
€200
Direct Cost
1 month members hip
€0
€255
€340
€510
€255
€255
€340
€425
€255
€255
€255
€255
3 months members hip
€0
€0
€1,100
€1,100
€1,650
€1,650
€1,375
€1,100
€825
€825
€825
€550
6 months members hip
€0
€2,400
€3,600
€3,600
€4,200
€4,200
€3,600
€3,600
€2,400
€3,000
€3,000
€2,400
12
months members hip
€0
€0
€5,750
€5,750
€9,200
€8,050
€8,050
€8,050
€5,750
€5,750
€5,750
€4,600
Monthly for students
€525
€300
€225
€300
€375
€300
€300
€225
€225
€225
€225
€225
3 months for students
€0
€1,250
€0
€1,000
€1,250
€1,000
€1,000
€1,000
€500
€750
€750
€500
6 months for students
€0
€1,000
€2,000
€1,500
€2,000
€1,500
€1,500
€1,000
€1,000
€500
€0
€0
12
months for students
€2,000
€5,000
€4,000
€4,000
€5,000
€7,000
€4,000
€5,000
€2,000
€2,000
€2,000
€2,000
Total Direct Cost
€2,525
€10,205
€17,015
€17,760
€23,930
€23,955
€20,165
€20,400
€12,955
€13,305
€12,805
€10,530
Gross Margin
€750
€2,655
€4,590
€4,910
€6,455
€6,280
€5,490
€5,450
€3,580
€3,655
€3,505
€2,880
Gross Margin %
23%
21%
21%
22%
21%
21%
21%
21%
22%
22%
21%
21%
FY2013
FY2014
FY2015
Unit Sales
1 month membership
200
230
250
3 months membership
200
230
250
6 months membership
300
330
360
12 months membership
290
310
340
Monthly for students
230
250
275
3 months for students
180
195
210
6 months for students
120
140
155
12 months for students
220
240
260
Price Per Unit
1 month membership
€29
€29
€29
3 months membership
€75
€75
€75
6 months membership
€150
€150
€150
12 months membership
€290
€290
€290
Monthly for students
€25
€25
€25
3 months for students
€65
€65
€65
6 months for students
€130
€130
€130
12 months for students
€240
€240
€240
Sales
1 month membership
€5,800
€6,670
€7,250
3 months membership
€15,000
€17,250
€18,750
6 months membership
€45,000
€49,500
€54,000
12 months membership
€84,100
€89,900
€98,600
Monthly for students
€5,750
€6,250
€6,875
3 months for students
€11,700
€12,675
€13,650
6 months for students
€15,600
€18,200
€20,150
12 months for students
€52,800
€57,600
€62,400
Total Sales
€235,750
€258,045
€281,675
Direct Cost Per Unit
1 month membership
€17
€17
€17
3 months membership
€55
€55
€55
6 months membership
€120
€120
€120
12 months membership
€230
€230
€230
Monthly for students
€15
€15
€15
3 months for students
€50
€50
€50
6 months for students
€100
€100
€100
12 months for students
€200
€200
€200
Direct Cost
1 month membership
€3,400
€3,910
€4,250
3 months membership
€11,000
€12,650
€13,750
6 months membership
€36,000
€39,600
€43,200
12 months membership
€66,700
€71,300
€78,200
Monthly for students
€3,450
€3,750
€4,125
3 months for students
€9,000
€9,750
€10,500
6 months for students
€12,000
€14,000
€15,500
12 months for students
€44,000
€48,000
€52,000
Total Direct Cost
€185,550
€202,960
€221,525
Gross Margin
€50,200
€55,085
€60,150
Gross Margin %
21%
21%
21%
Personnel Plan
Personnel Table (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Personal trainer 1
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
Personal trainer 2
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
€1,000
Operations manager
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
Accountant
€400
€400
€400
€400
€400
€400
€400
€400
€400
€400
€400
€400
Total
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
Budget
Budget Table (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Expenses
Salary
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
Employee Related Expenses
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
Marketing
& Promotio n
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
Rent
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
Utilities
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
Office Supplies
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
Insurance
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
Bank loan
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
Total penses
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
Major Purchases
Building equipmen t
€4,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Gym machines and equipmen t
€40,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Total Major Purchases
€44,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
FY2013
FY2014
FY2015
Expenses
Salary
€38,400
€43,800
€48,400
Employee Related Expenses
€1,920
€2,100
€2,320
Marketing & Promotion
€1,920
€1,000
€1,000
Rent
€36,000
€36,000
€36,000
Utilities
€9,600
€9,600
€9,600
Office Supplies
€600
€600
€600
Insurance
€3,600
€3,600
€3,600
Bank loan
€10,800
€10,800
€10,800
Total Expenses
€102,840
€107,500
€112,320
Major Purchases
Building equipment
€4,000
€0
€0
Gym machines and equipment
€40,000
€0
€0
Total Major Purchases
€44,000
€0
€0
Loans and Investments
Loans and Investments Table (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Bank loan Loan at 7% interest for 60 mos.
€45,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Investors Loan at 3% interest for 60 mos.
€10,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Total Amount Received
€55,000
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
FY2013
FY2014
FY2015
Bank loan
Loan at 7% interest for 60 mos.
€45,000
€0
€0
Investors
Loan at 3% interest for 60 mos.
€10,000
€0
€0
Total Amount Received
€55,000
€0
€0
Profit and Loss Statement
Profit and Loss Statement (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Income
€3,275
€12,860
€21,605
€22,670
€30,385
€30,235
€25,655
€25,850
€16,535
€16,960
€16,310
€13,410
Direct Cost
€2,525
€10,205
€17,015
€17,760
€23,930
€23,955
€20,165
€20,400
€12,955
€13,305
€12,805
€10,530
Gross Margin
€750
€2,655
€4,590
€4,910
€6,455
€6,280
€5,490
€5,450
€3,580
€3,655
€3,505
€2,880
Gross Margin %
23%
21%
21%
22%
21%
21%
21%
21%
22%
22%
21%
21%
Expenses
Salary
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
€3,200
Employee Related Expenses
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
Marketing
& Promo.
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
€160
Rent
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
€3,000
Utilities
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
€800
Office Supplies
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
€50
Insurance
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
€300
Bank loan
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
€900
Total Expenses
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
€8,570
Operating Income
(€7,820)
(€5,915)
(€3,980)
(€3,660)
(€2,115)
(€2,290)
(€3,080)
(€3,120)
(€4,990)
(€4,915)
(€5,065)
(€5,690)
Interest Incurred
€0
€288
€284
€279
€275
€271
€267
€263
€258
€255
€250
€246
Depreciatio n and Amortizatio n
€732
€732
€732
€732
€734
€734
€734
€734
€734
€734
€734
€734
Income Taxes
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Net Profit
(€8,552)
(€6,935)
(€4,996)
(€4,671)
(€3,124)
(€3,295)
(€4,081)
(€4,117)
(€5,982)
(€5,904)
(€6,049)
(€6,670)
Net Profit/ Sales
(261%)
(54%)
(23%)
(21%)
(10%)
(11%)
(16%)
(16%)
(36%)
(35%)
(37%)
(50%)
FY2013
FY2014
FY2015
Income
€235,750
€258,045
€281,675
Direct Cost
€185,550
€202,960
€221,525
Gross Margin
€50,200
€55,085
€60,150
Gross Margin %
21%
21%
21%
Expenses
Salary
€38,400
€43,800
€48,400
Employee Related Expenses
€1,920
€2,100
€2,320
Marketing & Promotion
€1,920
€1,000
€1,000
Rent
€36,000
€36,000
€36,000
Utilities
€9,600
€9,600
€9,600
Office Supplies
€600
€600
€600
Insurance
€3,600
€3,600
€3,600
Bank loan
€10,800
€10,800
€10,800
Total Expenses
€102,840
€107,500
€112,320
Operating Income
(€52,640)
(€52,415)
(€52,170)
Interest Incurred
€2,936
€2,609
€1,952
Depreciation and Amortization
€8,800
€8,800
€8,800
Income Taxes
€0
€0
€0
Net Profit
(€64,376)
(€63,824)
(€62,922)
Net Profit/ Sales
(27%)
(25%)
(22%)
Balance Sheet
Balance Sheet (With Monthly Detail)
As of Period's End
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Cash
€3,180
(€3,806)
(€8,857)
(€13,588)
(€16,774)
(€20,135)
(€24,286)
(€28,477)
(€34,538)
(€40,524)
(€46,660)
(€53,421)
Accounts Receivable
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Inventory
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Total Current Assets
€3,180
(€3,806)
(€8,857)
(€13,588)
(€16,774)
(€20,135)
(€24,286)
(€28,477)
(€34,538)
(€40,524)
(€46,660)
(€53,421)
Long- Term Assets
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
€44,000
Accumulate d Depreciatio n
(€732)
(€1,464)
(€2,196)
(€2,928)
(€3,662)
(€4,396)
(€5,130)
(€5,864)
(€6,598)
(€7,332)
(€8,066)
(€8,800)
Total Long- Term Assets
€43,268
€42,536
€41,804
€41,072
€40,338
€39,604
€38,870
€38,136
€37,402
€36,668
€35,934
€35,200
Total Assets
€46,448
€38,730
€32,947
€27,484
€23,564
€19,469
€14,584
€9,659
€2,864
(€3,856)
(€10,726)
(€18,221)
Accounts Payable
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Sales Taxes Payable
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Short-Term Debt
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Total Current Liabilities
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Long-Term Debt
€55,000
€54,217
€53,430
€52,638
€51,842
€51,042
€50,238
€49,430
€48,617
€47,801
€46,980
€46,155
Total Liabilities
€55,000
€54,217
€53,430
€52,638
€51,842
€51,042
€50,238
€49,430
€48,617
€47,801
€46,980
€46,155
Paid-In Capital
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Retained Earnings
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Earnings
(€8,552)
(€15,487)
(€20,483)
(€25,154)
(€28,278)
(€31,573)
(€35,654)
(€39,771)
(€45,753)
(€51,657)
(€57,706)
(€64,376)
Total Owner's Equity
(€8,552)
(€15,487)
(€20,483)
(€25,154)
(€28,278)
(€31,573)
(€35,654)
(€39,771)
(€45,753)
(€51,657)
(€57,706)
(€64,376)
Total Liabilities
& Equity
€46,448
€38,730
€32,947
€27,484
€23,564
€19,469
€14,584
€9,659
€2,864
(€3,856)
(€10,726)
(€18,221)
As of Period's End
FY2013
FY2014
FY2015
Cash
(€53,421)
(€118,688)
(€183,710)
Accounts Receivable
€0
€0
€0
Inventory
€0
€0
€0
Total Current Assets
(€53,421)
(€118,688)
(€183,710)
Long-Term Assets
€44,000
€44,000
€44,000
Accumulated Depreciation
(€8,800)
(€17,600)
(€26,400)
Total Long-Term Assets
€35,200
€26,400
€17,600
Total Assets
(€18,221)
(€92,288)
(€166,110)
Accounts Payable
€0
€0
€0
Sales Taxes Payable
€0
€0
€0
Short-Term Debt
€0
€0
€0
Total Current Liabilities
€0
€0
€0
Long-Term Debt
€46,155
€35,912
€25,012
Total Liabilities
€46,155
€35,912
€25,012
Paid-In Capital
€0
€0
€0
Retained Earnings
€0
(€64,376)
(€128,200)
Earnings
(€64,376)
(€63,824)
(€62,922)
Total Owner's Equity
(€64,376)
(€128,200)
(€191,122)
Total Liabilities & Equity
(€18,221)
(€92,288)
(€166,110)
Cash Flow Statement
Cash Flow Statement (With Monthly Detail)
FY2013
Sep '12
Oct '12
Nov '12
Dec '12
Jan '13
Feb '13
Mar '13
Apr '13
May '13
Jun '13
Jul '13
Aug '13
Operations
Net Profit
(€8,552)
(€6,935)
(€4,996)
(€4,671)
(€3,124)
(€3,295)
(€4,081)
(€4,117)
(€5,982)
(€5,904)
(€6,049)
(€6,670)
Depreciat ion and Amortizat ion
€732
€732
€732
€732
€734
€734
€734
€734
€734
€734
€734
€734
Decrease in Accounts Receivabl e
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Decrease in Inventory
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Increase in Accounts Payable
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Increase in Sales Taxes Payable
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Net Cash Flow from Operations
(€7,820)
(€6,203)
(€4,264)
(€3,939)
(€2,390)
(€2,561)
(€3,347)
(€3,383)
(€5,248)
(€5,170)
(€5,315)
(€5,936)
Investing & Financing
Assets Purchase d
(€44,000)
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Investme nts Received
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Increase in Short- Term Debt
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
€0
Increase in Long- Term Debt
€55,000
(€783)
(€787)
(€792)
(€796)
(€800)
(€804)
(€808)
(€813)
(€816)
(€821)
(€825)
Net Cash Flow from Investing & Financing
€11,000
(€783)
(€787)
(€792)
(€796)
(€800)
(€804)
(€808)
(€813)
(€816)
(€821)
(€825)
Cash at Beginning of Period
€0
€3,180
(€3,806)
(€8,857)
(€13,588)
(€16,774)
(€20,135)
(€24,286)
(€28,477)
(€34,538)
(€40,524)
(€46,660)
Net Increase in Cash
€3,180
(€6,986)
(€5,051)
(€4,731)
(€3,186)
(€3,361)
(€4,151)
(€4,191)
(€6,061)
(€5,986)
(€6,136)
(€6,761)
Cash at End of Period
€3,180
(€3,806)
(€8,857)
(€13,588)
(€16,774)
(€20,135)
(€24,286)
(€28,477)
(€34,538)
(€40,524)
(€46,660)
(€53,421)
FY2013
FY2014
FY2015
Operations
Net Profit
(€64,376)
(€63,824)
(€62,922)
Depreciation and Amortization
€8,800
€8,800
€8,800
Decrease in Accounts Receivable
€0
€0
€0
Decrease in Inventory
€0
€0
€0
Increase in Accounts Payable
€0
€0
€0
Increase in Sales Taxes Payable
€0
€0
€0
Net Cash Flow from Operations
(€55,576)
(€55,024)
(€54,122)
Investing & Financing
Assets Purchased
(€44,000)
€0
€0
Investments Received
€0
€0
€0
Increase in Short-Term Debt
€0
€0
€0
Increase in Long-Term Debt
€46,155
(€10,243)
(€10,900)
Net Cash Flow from Investing & Financing
€2,155
(€10,243)
(€10,900)
Cash at Beginning of Period
€0
(€53,421)
(€118,688)
Net Increase in Cash
(€53,421)
(€65,267)
(€65,022)
Cash at End of Period
(€53,421)
(€118,688)
(€183,710)