trading business plan draft.pdf

8/20/2019 Trading Business Plan Draft.pdf

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Confidentiality Agreement

The undersigned reader acknowledges that the information provided by _______________ in thisbusiness plan is confidential; therefore, reader agrees not to disclose it without the express

written permission of _______________.It is acknowledged by reader that information to be furnished in this business plan is in all respects

confidential in nature, other than information which is in the public domain through other meansand that any disclosure or use of same by reader, may cause serious harm or damage to

_______________.Upon request, this document is to be immediately returned to _______________.

___________________

Signature ___________________

Name (typed or printed)

___________________

DateThis is a business plan. It does not imply an offering of securities.


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Table of Contents

1.0 Executive Summary .................................................................................................................................11.1 Objectives........................................................................................ ..............................................11.2 Mission ..........................................................................................................................................11.3 Keys to Success ............................................................................................................................2

2.0 Company Summary .................................................................................................................................22.1 Company Ownership .....................................................................................................................22.2 Start-up Summary............................................................................ ..............................................2

3.0 Products.................................................................................................... ..............................................44.0 Market Analysis Summary .......................................................................................................................4

4.1 Market Segmentation.....................................................................................................................54.2 Target Mar ket Segment Strategy...................................................................................................64.3 Industry Analysis.............................................................................. ..............................................6

4.3.1 Competition and Buying Patterns ......................................................................................65.0 Strategy and Implementation Summary ...................................................................................................6

5.1 Competitive Edge ..........................................................................................................................65.2 Marketing Strategy ........................................................................................................................65.3 Sales Strategy ...............................................................................................................................7

5.3.1 Sales Forecast ..................................................................................................................75.4 Milestones .....................................................................................................................................8

6.0 Management Summary ...........................................................................................................................96.1 Personnel Plan ............................................................................................................................10

7.0 Financial Plan .......................................................................................................................................107.1 Start-up Funding .........................................................................................................................107.2 Important Assumptions.................................................................................................................117.3 Break-even Analysis ....................................................................................................................117.4 Projected Profit and Loss ............................................................................................................127.5 Projected Cash Flow....................................................................................................................157.6 Projected Balance Sheet .............................................................................................................177.7 Business Ratios ...........................................................................................................................18


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Ekoki Trading Business Plan

1.0 Executive Summary

TO BE COMPLETED AT THE END.

1.1 Objectives


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1.3 Keys to Success

1. To develop an extensive networking within the mobile telecommunications industry

and the South African business community as a whole.2. To develop c ritically acc laimed software, developing strategic alliances with

consulting firms and software companies that complement Ekoki Trading's offering.

2.0 Company Summary

Ekoki Trading is a software development company that seeks to resolve the ever-increasing need

for unique, inexistent mobile Apps services in the diverse South African Mobile telephony market.Innovation is the company motto and through the help of a well selected team as well as

strategically placed partners, Ekoki's goal to develop state-of-the-art software Apps, neverbefore experienced in South Africa, can be achieved.

Ekoki Trading plans to introduce itself to the market with its newly developed car-sharingplatform for use on smart phones and other smart gadgets.

2.1 Company Ownership

Ekoki Trading is a Private Limited Company, owned in total by its co-founders, Boipelo Chababaand Kay Ruby Pezo.


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Table: Start-up

Start-up

Requirements

Start-up Expenses

Legal R5,000

Stationery etc. R3,000

Insurance R3,000

Rent R6,000

Computers & Telecommunication Services R50,000

Other R3,000

Total Start-up Expenses R70,000

Start-up Assets

Cash Required R1,350,000

Other Current Assets R10,000

Long-term Assets R70,000

Total Assets R1,430,000

Total Requirements R1,500,000


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3.0 Products

Ekoki Trading plans on developing software that are more than just tools, because theyinstruct and empower the user with know-how as well as tools.Our strategy is to offer up software that will not just be bought for the software itself but the

benefit offered in the application as we as the step-by-step solution offered by the App.An example is our flagship product which is a car-sharing platform for long-distance travellers.

The idea behind this product is to develop a Mobile App that can be used by drivers planning

long-distance trips who may require passengers to travel with as a way of cutting down on thefuel costs that come with the trip. This App can also work in the opposite, to help travellerslooking for alternative transport, to help them identifify private evehicles that may be headedin thir direction as a way pof cutting costs.

This is just one of the flagship products that Ekoki plans to develop, and this will be shortlyfollowed by similarly well-though of and structured products.

4.0 Market Analysis Summary

Ekoki Trading operates primarily in the Mobile Apps and software applications industry.

Smart phones are fast becoming a viable alternative to PDAs and lapops, offering phone featuressuch as coice and SMS coupled with mobile internet applications, multimedia funct ionality, high

speed data processing capabilities and inbuilt GPS capabilities.The total global phone and smartphone market is expected to be worth $341.4 billion by 2015hile smartphone revenue will account for 75.8% of the overall handset revenue at $258.9 billion

in the same year. Smartphones are currently witnessing high growth due to a host of factors,including lower product cost, improved handset design and functionalities, the expansion of


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4.1 Market Segmentation

We anticipate that the global mobile applications market will be worth $25 billion by the end of 2015. However, the number of downloads will show a faster growth at CAGR of 64.2% during thesame period and is expected to reach 144 billion downloads by 2015.

The disconnect between the growth of revenue and downloads is mainly due to the reductionexpected in the average selling price of mobile applications, faster growth of free mobile

application downloads and growth in ad-sponsored mobile applications.

You will note that the preferred segments for Ekoki Trading tend to lean more in segments thatare more likely to attract advertising support. This means that the company can offer the Appsat a low selling price or for free, depending on the sponsorship size. The segmenst chosencater for some of the more sponsored areas in the business sector.

Table: Market Analysis

Market Analysis

Year 1 Year 2 Year 3 Year 4 Year 5

Potential Customers Growth CAGR

Business and Finance 12% 50,000 56,000 62,720 70,246 78,676 12.00%

Social Networking 10% 200,000 220,000 242,000 266,200 292,820 10.00%

Travel 10% 50,000 55,000 60,500 66,550 73,205 10.00%

Util ities 13% 150,000 169,500 191,535 216,435 244,572 13.00%

Entertainment 12% 150,000 168,000 188,160 210,739 236,028 12.00%

Total 11.44% 600,000 668,500 744,915 830,170 925,301 11.44%


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4.2 Target Market Segment Strategy

Ekoki Trading target market strategy lies in developing Apps that will attract ad sponsorship frombusiness entities, corporates and government bodies. This way the company does not have tooffer their app at a selling price that may keep potential clients from downloading the app. The

apps can then be offered for free or at a highly subsidized rate.The segments selected will offer pportunities that will see the development of apps attracting ad

opportunies, and hence, each product developed by Ekoki Trading, will from conception, take

into consideration the target market segmentation strategy and accomodate the investorattracting factor.

4.3 Industry Analysis

TO BE DONE IN PHASE 2

4.3.1 Competition and Buying Patterns

TO BE DONE IN PHASE 2

5.0 Strategy and Implementation Summary


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5.3 Sales Strategy

Pricing Strategy

Ekoki Trading App software will strive to be competitive when compared to the competition,though the company plans on developing unique applications whose initial entry into the

market will have no c lose competitor comparative.Additionally, the company intends to capitalize on ad sponsorship from corporates or businesses

related to the software developed. These companies will be identified during the

conceptualization process of the software app.

5.3.1 Sales Forecast

As indicated in the table, our sales are forecasted to increase rapidly, with an annual growth

rate of approximately 10%.MORE TO BE ADDED IN PHASE 2

Table: Sales Forecast

Sales Forecast

Year 1 Year 2 Year 3

Sales

Ekoki Car Sharing Platform R2,200,000 R2,420,000 R2,662,000

Ekoki Software 2 R900,000 R990,000 R1,089,000

Total Sales R3,100,000 R3,410,000 R3,751,000


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Table: Milestones

Milestones

Milestone Start Date End Date Budget Manager Department

Acquire funding 9/8/201 4 10/8/2014 R0 Boi pel o/kay Management

Set-up offices 9/8/2014 10/8/2014 R0 Boipelo/Kay Management

Market Research 9/8/2014 10/8/2014 R0 Boipelo/Kay Administrator

Develop Software 10/1/2014 2/28/2015 R0 IT Expert IT Expert

Name me 9/8/2014 10/8/2014 R0 ABC Department






Totals R0


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6.1 Personnel Plan

The table below contains the details of our personnel plan. Both directors will, during the firstfew months of company launch, not earn any salary. The call center agents will be employedonce the App is ready for launch.

Table: Personnel

Personnel Plan


Adm in istration (Director) R140,000 R240,000 R240,000

Sales & marketing (Director) R140,000 R240,000 R240,000

IT Expert R180,000 R198,000 R217,800

Call Center Agents (X4) R160,000 R176,000 R193,600

Total People 0 0 0

Total Payroll R620,000 R854,000 R891,400

7.0 Financial Plan

7.1 Start-up Funding

Ekoki Trading's start-up costs are detailed above in the start-up table. The following table showshow these start-up costs will be funded through a long-term loan facility.


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Table: Start-up Funding

Start-up Funding

Start-up Expenses to Fund R70,000

Start-up Assets to Fund R1,430,000

Total Funding Required R1,500,000

Assets

Non-cash Assets from Start-up R80,000

Cash Requirements from Start-up R1,350,000

Addit ional Cash Raised R0

Cash Balance on Starting Date R1,350,000

Total Assets R1,430,000

Liabilities and Capital

Liabilities

Current Borrowing R0

Long-term Liabili ties R1,500,000

Accounts Payab le (Outstanding Bi ll s) R0

Other Current Liabili ties (interest-free) R0

Total Liabili ties R1,500,000

Capital

Planned Investment

Owner R0

Investor R0

Addit ional Investment Requi rement R0

Total Planned Investment R0

Loss at Start-up (Start-up Expenses) (R70,000)

Total Capital (R70,000)


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Table: Break-even Analysis

Break-even Analysis

Monthly Revenue Break-even R73,677

Assumpti ons:

Average Percent Variabl e Cost 19%

Estimated Monthly Fixed Cost R59,417


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Table: Profit and Loss

Pro Forma Profit and Loss


Sales R3,100,000 R3,410,000 R3,751,000

Direct Cost of Sales R600,000 R630,000 R661,500

Other Costs of Sales R0 R0 R0

Total Cost of Sales R600,000 R630,000 R661,500

Gross Margin R2,500,000 R2,780,000 R3,089,500

Gross Margin % 80.65% 81.52% 82.36%

Expenses

Payroll R620,000 R854,000 R891,400

Marketing/Promotion R0 R0 R0

Depreciation R0 R0 R0

Rent R0 R0 R0

Util ities R0 R0 R0

Insurance R0 R0 R0

Payroll Taxes R93,000 R128,100 R133,710

Other R0 R0 R0

Total Operating Expenses R713,000 R982,100 R1,025,110

Profit Before Interest and Taxes R1,787,000 R1,797,900 R2,064,390

EBITDA R1,787,000 R1,797,900 R2,064,390

Interest Expense R150,000 R150,000 R150,000

Taxes Incurred R491,100 R494,370 R574,317

Net Profit R1,145,900 R1,153,530 R1,340,073

Net Profit/Sales 36.96% 33.83% 35.73%


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7.5 Projected Cash Flow


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Table: Cash Flow

Pro Forma Cash Flow


Cash Received

Cash from Operations

Cash Sales R3,100,000 R3,410,000 R3,751,000

Subtotal Cash from Operations R3,100,000 R3,410,000 R3,751,000

Addit ional Cash Received

Sales Tax, VAT, HST/GST Received R0 R0 R0

New Current Borrowing R0 R0 R0

New Other Liabil ities (interest-free) R0 R0 R0

New Long-term Liabili ties R0 R0 R0

Sales of Other Current Assets R0 R0 R0

Sales of Long-term Assets R0 R0 R0

New Investment Received R0 R0 R0

Subtotal Cash Received R3,100,000 R3,410,000 R3,751,000

Expenditures Year 1 Year 2 Year 3

Expenditures from Operations

Cash Spending R620,000 R854,000 R891,400

Bill Payments R1,173,029 R1,448,269 R1,509,906

Subtotal Spent on Operations R1,793,029 R2,302,269 R2,401,306

Addit ional Cash Spen t

Sales Tax, VAT, HST/GST Paid Out R0 R0 R0

Principal Repayment of Current Borrowing R0 R0 R0

Other Liabil ities Principal Repayment R0 R0 R0

Long-term Liabili ties Principal Repayment R0 R0 R0

Purchase Other Current Assets R0 R0 R0

Purchase Long-term Assets R0 R0 R0


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7.6 Projected Balance Sheet


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Table: Balance Sheet

Pro Forma Bal ance Sheet


Assets

Current Assets

Cash R2,656,971 R3,764,702 R5,114,396

Other Current Assets R10,000 R10,000 R10,000

Total Current Assets R2,666,971 R3,774,702 R5,124,396

Long-term Assets

Long-term Assets R70,000 R70,000 R70,000

Accumulated Deprecia tion R0 R0 R0

Total Long-term Assets R70,000 R70,000 R70,000

Total Assets R2,736,971 R3,844,702 R5,194,396

Liabili ties and Capital Year 1 Year 2 Year 3

Current Liabilities

Accounts Payab le R161,071 R115,272 R124,893

Current Borrowing R0 R0 R0

Other Current Liabili ties R0 R0 R0

Subtotal Current Liabil ities R161,071 R115,272 R124,893

Long-term Liabili ties R1,500,000 R1,500,000 R1,500,000

Total Liabili ties R1,661,071 R1,615,272 R1,624,893

Paid-in Capital R0 R0 R0

Retained Earnings (R70,000) R1,075,900 R2,229,430

Earnings R1,145,900 R1,153,530 R1,340,073

Total Capital R1,075,900 R2,229,430 R3,569,503

Total Liabili ties and Capital R2,736,971 R3,844,702 R5,194,396


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Table: Ratios

Ratio Anal ysis

Year 1 Year 2 Year 3 Industry Profile

Sales Growth 0.00% 10.00% 10.00% 0.00%

Percent of Total Assets

Other Current Assets 0.37% 0.26% 0.19% 100.00%

Total Current Assets 97.44% 98.18% 98.65% 100.00%

Long-term Assets 2.56% 1.82% 1.35% 0.00%

Total Assets 100.00% 100.00% 100.00% 100.00%

Current Liabil i ties 5.89% 3.00% 2.40% 0.00%

Long-term Liabili ties 54.81% 39.01% 28.88% 0.00%

Total Liabili ties 60.69% 42.01% 31.28% 0.00%

Net Worth 39.31% 57.99% 68.72% 100.00%

Percent of Sal es

Sales 100.00% 100.00% 100.00% 100.00%

Gross Margin 80.65% 81.52% 82.36% 0.00%

Selling, General & Administrative Expenses 43.68% 47.70% 46.64% 0.00%

Advertising Expenses 0.00% 0.00% 0.00% 0.00%

Profit Before Interest and Taxes 57.65% 52.72% 55.04% 0.00%

Main Ratios

Current 16.56 32.75 41.03 0.00

Quick 16.56 32.75 41.03 0.00

Total Debt to Total Assets 60.69% 42.01% 31.28% 0.00%

Pre-tax Return on Net Worth 152.15% 73.92% 53.63% 0.00%

Pre-tax Return on Assets 59.81% 42.86% 36.85% 0.00%

Addit ional Ratios Year 1 Year 2 Year 3

Net Profit Margin 36.96% 33.83% 35.73% n.a

Return on Equity 106.51% 51.74% 37.54% n.a


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Appendix

Page 1

Table: Sales Forecast

Sales Forecast

Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12

Sales

Ekoki Car Sharing Platform R0 R0 R100,000 R150,000 R200,000 R250,000 R250,000 R250,000 R250,000 R250,000 R250,000 R250,000Ekoki Software 2 R0 R0 R0 R0 R0 R0 R150,000 R150,000 R150,000 R150,000 R150,000 R150,000

Total Sales R0 R0 R100,000 R150,000 R200,000 R250,000 R400,000 R400,000 R400,000 R400,000 R400,000 R400,000

Direct Cost of Sales Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12

Market research R10,000 R10,000 R20,000 R20,000 R20,000 R20,000 R50,000 R50,000 R50,000 R50,000 R50,000 R50,000

Product Development R0 R0 R0 R15,000 R15,000 R20,000 R25,000 R25,000 R25,000 R25,000 R25,000 R25,000

Subtotal Direct Cost of Sales R10,000 R10,000 R20,000 R35,000 R35,000 R40,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000


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Appendix

Page 2

Table: Personnel

Personnel Plan

Mon th 1 Mo nth 2 Mo nth 3 Month 4 Month 5 Mon th 6 Mon th 7 Mon th 8 Mon th 9 Month 10 Month 11 Month 12

Administration (Dire ctor) R0 R0 R0 R0 R0 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000

Sales & marketing (Director) R0 R0 R0 R0 R0 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000IT Expert R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000 R15,000

Call Center Agents (X4) R0 R0 R0 R0 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000 R20,000

Total People 0 0 0 0 0 0 0 0 0 0 0 0

Total Payroll R15,000 R15,000 R15,000 R15,000 R35,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000


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Appendix

Page 3

Table: Profit and Loss

Pro Forma Profit and Loss


Sales R0 R0 R100,000 R150,000 R200,000 R250,000 R400,000 R400,000 R400,000 R400,000 R400,000 R400,000

Direct Cost of Sales R10,000 R10,000 R20,000 R35,000 R35,000 R40,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000Other Costs of Sales R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Total Cost of Sales R10,000 R10,000 R20,000 R35,000 R35,000 R40,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000

Gross Margin (R10,000) (R10,000) R80,000 R115,000 R165,000 R210,000 R325,000 R325,000 R325,000 R325,000 R325,000 R325,000

Gross Margin % 0.00% 0.00% 80.00% 76.67% 82.50% 84.00% 81.25% 81.25% 81.25% 81.25% 81.25% 81.25%

Expenses

Payroll R15,000 R15,000 R15,000 R15,000 R35,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000

Marketing/Promotion R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Depreciation R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Rent R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Utilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Insurance R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Payroll Taxes 15% R2,250 R2,250 R2,250 R2,250 R5,250 R11,250 R11,250 R11,250 R11,250 R11,250 R11,250 R11,250

Other R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Total Operating Ex penses R17,250 R17,250 R17,250 R17,250 R40,250 R86,250 R86,250 R86,250 R86,250 R86,250 R86,250 R86,250

Pro fit Be fo re Interest a nd Ta xes (R2 7,25 0) (R27 ,2 50) R6 2,75 0 R97 ,7 50 R1 24,7 50 R1 23,750 R2 38,75 0 R2 38 ,7 50 R2 38 ,7 50 R2 38 ,7 50 R2 38 ,7 50 R2 38,7 50

EBITDA (R27,250) (R27,250) R62,750 R97,750 R124,750 R123,750 R238,750 R238,750 R238,750 R238,750 R238,750 R238,750

Interest Expense R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500 R12,500

Taxes Incurred (R11,925) (R11,925) R15,075 R25,575 R33,675 R33,375 R67,875 R67,875 R67,875 R67,875 R67,875 R67,875

Net Profit (R27,825) (R27,825) R35,175 R59,675 R78,575 R77,875 R158,375 R158,375 R158,375 R158,375 R158,375 R158,375

Net Profit/Sales 0.00% 0.00% 35.17% 39.78% 39.29% 31.15% 39.59% 39.59% 39.59% 39.59% 39.59% 39.59%


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Appendix

Page 4

Table: Cash Flow

Pro Forma Cash Flow


Cash Received

Cash from Operations

Cash Sales R0 R0 R100,000 R150,000 R200,000 R250,000 R400,000 R400,000 R400,000 R400,000 R400,000 R400,000

Subtotal Cash from Operations R0 R0 R100,000 R150,000 R200,000 R250,000 R400,000 R400,000 R400,000 R400,000 R400,000 R400,000

Additional Cash Received

Sales Tax, VAT, HST/GST Received 0.00% R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Other Liabilities (interest-free) R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Long-term Liabilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Sales of Other Current Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Sales of Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Investment Received R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Subtotal Cash Received R0 R0 R100,000 R150,000 R200,000 R250,000 R400,000 R400,000 R400,000 R400,000 R400,000 R400,000

Expenditures Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12

Expenditures from Operations

Cash Spending R15,000 R15,000 R15,000 R15,000 R35,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000 R75,000

Bill Payments R428 R12,825 R14,058 R50,675 R75,695 R86,782 R99,442 R166,625 R166,625 R166,625 R166,625 R166,625

Subtotal Spent on Operations R15,428 R27,825 R29,058 R65,675 R110,695 R161,782 R174,442 R241,625 R241,625 R241,625 R241,625 R241,625

Additional Cash Spent

Sales Tax, VAT, HST/GST Paid Out R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Principal Repayment of Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Other Liabilities Principal Repayment R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Long-term Liabilities Principal Repayment R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Purchase Other Current Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Purchase Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Dividends R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Subtotal Cash Spent R15,428 R27,825 R29,058 R65,675 R110,695 R161,782 R174,442 R241,625 R241,625 R241,625 R241,625 R241,625

Net Cash Flow (R15,428) (R27,825) R70,942 R84,325 R89,305 R88,218 R225,558 R158,375 R158,375 R158,375 R158,375 R158,375

Ca sh Ba la nce R1 ,3 34 ,5 73 R1 ,3 06 ,7 48 R1 ,3 77 ,6 89 R1 ,4 62 ,0 14 R1 ,5 51 ,3 19 R1 ,6 39 ,5 38 R1 ,8 65 ,0 96 R2 ,0 23 ,4 71 R2 ,1 81 ,8 46 R2 ,3 40 ,2 21 R2 ,4 98 ,5 96 R2 ,6 56 ,9 71


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Appendix

Page 5

Table: Balance Sheet

Pro Forma Balance Sheet

Mon th 1 Mo nth 2 Mo nth 3 Month 4 Month 5 Mon th 6 Mon th 7 Mon th 8 Mon th 9 Month 10 Month 11 Month 12

Assets Starting Balances

Curren t Assets

Ca sh R1 ,3 50 ,0 00 R1 ,3 34 ,5 73 R1 ,3 06 ,7 48 R1 ,3 77 ,6 89 R1 ,4 62 ,0 14 R1 ,5 51 ,3 19 R1 ,6 39 ,5 38 R1 ,8 65 ,0 96 R2 ,0 23 ,4 71 R2 ,1 81 ,8 46 R2 ,3 40 ,2 21 R2 ,4 98 ,5 96 R2 ,6 56 ,9 71

Other Current Assets R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000 R10,000

Total Current Assets R1,360,000 R1,344,573 R1,316,748 R1,387,689 R1,472,014 R1,561,319 R1,649,538 R1,875,096 R2,033,471 R2,191,846 R2,350,221 R2,508,596 R2,666,971

Long -term Assets

Long-term Assets R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000

Accumulated Depr eciation R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Total Long-term Assets R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000 R70,000

T ota l As se ts R1 ,4 30 ,0 00 R 1 ,4 14 ,5 73 R1 ,3 86 ,7 48 R 1,4 57 ,6 89 R1 ,5 42 ,0 14 R 1,6 31 ,3 19 R 1 ,7 19 ,5 38 R 1,9 45 ,0 96 R 2 ,1 03 ,4 71 R 2,2 61 ,8 46 R 2,4 20 ,2 21 R 2,5 78 ,5 96 R 2,7 36 ,9 71

Liabilities and Capital Month 1 Month 2 Month 3 Month 4 Month 5 Month 6 Month 7 Month 8 Month 9 Month 10 Month 11 Month 12

Current Liabilities

Accounts Payable R0 R12,398 R12,398 R48,164 R72,814 R83,544 R93,887 R161,071 R161,071 R161,071 R161,071 R161,071 R161,071

Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Other Current Liabilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Subtotal Current Liabilities R0 R12,398 R12,398 R48,164 R72,814 R83,544 R93,887 R161,071 R161,071 R161,071 R161,071 R161,071 R161,071

Long- term L iab il it ies R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000 R1,500,000

T ota l L ia bil it ie s R1 ,5 00 ,0 00 R 1,5 12 ,3 98 R1 ,5 12 ,3 98 R 1 ,5 48 ,1 64 R1 ,5 72 ,8 14 R 1 ,5 83 ,5 44 R1 ,5 93 ,8 88 R 1 ,6 61 ,0 71 R 1,6 61 ,0 71 R 1 ,6 61 ,0 71 R 1 ,6 61 ,0 71 R 1 ,6 61 ,0 71 R 1 ,6 61 ,0 71

Paid-in Capital R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Re ta in ed Ea rn in gs ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) (R7 0,0 00 ) (R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 ) ( R7 0,0 00 )

Earnings R0 ( R27,825) ( R55,650) (R20,475) R39,200 R117,775 R195,650 R354,025 R512,400 R 670,775 R829,150 R987,525 R1,145,900

Total Capital (R7 0,000 ) (R9 7,825 ) (R1 25,65 0) (R9 0,47 5) (R30 ,8 00) R4 7,77 5 R1 25 ,6 50 R2 84 ,0 25 R44 2,400 R60 0,775 R7 59,1 50 R9 17,5 25 R1,07 5,9 00

Total L iab il it ies and Capital R1,430,000 R1,414,573 R1,386,748 R1,457,689 R1,542,014 R1,631,319 R1,719,538 R1,945,096 R2,103,471 R2,261,846 R2,420,221 R2,578,596 R2,736,971

Net Worth (R70,000) (R97,825) (R125,650) (R90,475) (R30,800) R47,775 R125,650 R284,025 R442,400 R600,775 R759,150 R917,525 R1,075,900

trading business plan draft.pdf

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