• Sample Plans
Home > Sample Business Plans > Retail and Online Store Business Plans >
Edit This Plan Clothing E-commerce Site Business Plan
Make it your own. Use
Business Plan Pro to edit this Liquid Culture
plan or any of 500+ other This business plan was created with Business Plan Pro software, the fastest way to prepare a co
sample plans. business plan.
With Business Plan Pro, you can open this plan (or any of the 500 others included in the product
Plan Outline quickly customize it to match your business. Or you can use the software's step-by-step wizard t
create a custom business plan from scratch. Learn more »
• 1.0 Executive Summary
• 2.0 Company Summary
• 3.0 Products Financial Plan
• 4.0 Market Analysis
7.0 Financial Plan
Summary
• 5.0 Strategy and The following is the financial plan for Liquid Culture.
Implementation Summary
• 6.0 Management
7.1 Break-even Analysis
Summary
• 7.0 Financial Plan Our break-even analysis is based on running costs, the costs we incur to ke
o Break-even business running, not on theoretical fixed costs that would be relevant only
Analysis were closing. Fixed costs include payroll, rent, utilities, and marketing costs
Break-
even Break-even Analysis
Analysi Break-even Analysis
s
Break- Monthly Revenue Break-even $177,248
even
Analysi Assumptions:
s Average Percent Variable Cost 58%
o Projected Profit Estimated Monthly Fixed Cost $75,228
and Loss
Profit Break-even Analysis
and
Loss
Profit
Monthly
o Projected Cash
Flow
Cash
Flow
Cash
o Projected
Balance Sheet
Balance
Sheet
o Business Ratios
Ratios
Get the right numbers
Get the important numbers right
with Business Plan Pro's
powerful tools:
Create a foundation.
Automatically generate cash-
flow projections with the Start-
up Wizard.
Make realistic forecasts. Use
7.2 Projected Profit and Loss
the break-even analysis tool to
help you understand when you'll The following table and chart are the projected profit and loss for three year
break even and when you'll
start making money.
Profit and Loss
Plan for growth. The Pro Forma Profit and Loss
forecaster tool automatically 2002 2003
creates tables, charts and
Sales $2,170,000 $3,000,000 $4
reports that show how your
Direct Costs of Goods $1,249,000 $1,800,000 $2
business will grow.
Other Production
$0 $0
Proceed with confidence. The Expenses
Plan Review Wizard checks all ------------ ------------
your data twice to guarantee a Cost of Goods Sold $1,249,000 $1,800,000 $2
flawless plan.
Gross Margin $921,000 $1,200,000 $1
Gross Margin % 42.44% 40.00%
Expenses
Payroll $531,600 $575,000
Sales and Marketing and
$265,000 $340,000
Other Expenses
Depreciation $0 $0
Leased Equipment $0 $0
Utilities $2,400 $2,400
Insurance $0 $0
Rent $24,000 $24,000
Payroll Taxes $79,740 $86,250
Other $0 $0
------------ ------------
Total Operating
$902,740 $1,027,650 $1
Expenses
Profit Before Interest and $18,260 $172,350
Taxes
EBITDA $18,260 $172,350
Interest Expense $17,574 $13,281
Taxes Incurred $206 $47,721
Net Profit $481 $111,349
Net Profit/Sales 0.02% 3.71%
Profit Monthly
7.3 Projected Cash Flow
The following table and chart are the projected cash flow for three years.
Cash Flow
Pro Forma Cash Flow
2002 2003
Cash Received
Cash from Operations
Cash Sales $2,170,000 $3,000,000 $4
Subtotal Cash from
$2,170,000 $3,000,000 $4
Operations
Additional Cash
Received
Sales Tax, VAT,
$0 $0
HST/GST Received
New Current Borrowing $0 $0
New Other Liabilities
$0 $0
(interest-free)
New Long-term Liabilities $0 $0
Sales of Other Current
$0 $0
Assets
Sales of Long-term $0 $0
Assets
New Investment
$0 $0
Received
Subtotal Cash Received $2,170,000 $3,000,000 $4
Expenditures 2002 2003
Expenditures from
Operations
Cash Spending $531,600 $575,000
Bill Payments $1,590,840 $2,541,460 $3
Subtotal Spent on
$2,122,440 $3,116,460 $4
Operations
Additional Cash Spent
Sales Tax, VAT,
$0 $0
HST/GST Paid Out
Principal Repayment of
$0 $0
Current Borrowing
Other Liabilities Principal
$0 $0
Repayment
Long-term Liabilities
$44,796 $44,796
Principal Repayment
Purchase Other Current
$0 $0
Assets
Purchase Long-term
$0 $0
Assets
Dividends $0 $0
Subtotal Cash Spent $2,167,236 $3,161,256 $4
Net Cash Flow $2,764 ($161,256)
Cash Balance $404,264 $243,008
Cash
7.4 Projected Balance Sheet
The following is the projected balance sheet for three years.
Balance Sheet
Pro Forma Balance Sheet
2002 2003
Assets
Current Assets
Cash $404,264 $243,008
Inventory $264,000 $380,464
Other Current Assets $0 $0
Total Current Assets $668,264 $623,473 $1
Long-term Assets
Long-term Assets $0 $0
Accumulated
$0 $0
Depreciation
Total Long-term Assets $0 $0
Total Assets $668,264 $623,473 $1
Liabilities and Capital 2002 2003
Current Liabilities
Accounts Payable $311,080 $199,736
Current Borrowing $0 $0
Other Current Liabilities $0 $0
Subtotal Current
$311,080 $199,736
Liabilities
Long-term Liabilities $155,204 $110,408
Total Liabilities $466,284 $310,144
Paid-in Capital $260,000 $260,000
Retained Earnings ($58,500) ($58,019)
Earnings $481 $111,349
Total Capital $201,981 $313,329
Total Liabilities and
$668,264 $623,473 $1
Capital
Net Worth $201,981 $313,329
7.5 Business Ratios
The following table shows the projected businesses ratios. We expect to ma
healthy ratios for profitability, risk, and return. These ratios have been dete
by the 5137 industry, Women's and Children's Clothing, as found in the Stan
Industry Code (SIC) Index.
Ratios
Ratio Analysis
2002 2003 2004 Indus
Sales Growth 0.00% 38.25% 43.33%
Percent of Total
Assets
Inventory 39.51% 61.02% 52.36%
Other Current
0.00% 0.00% 0.00%
Assets
Total Current
100.00% 100.00% 100.00%
Assets
Long-term Assets 0.00% 0.00% 0.00%
Total Assets 100.00% 100.00% 100.00%
Current Liabilities 46.55% 32.04% 27.41%
Long-term Liabilities 23.22% 17.71% 6.30%
Total Liabilities 69.78% 49.74% 33.71%
Net Worth 30.22% 50.26% 66.29%
Percent of Sales
Sales 100.00% 100.00% 100.00%
Gross Margin 42.44% 40.00% 40.00%
Selling, General &
Administrative 42.42% 36.29% 31.23%
Expenses
Advertising
11.29% 10.00% 9.30%
Expenses
Profit Before
0.84% 5.75% 12.73%
Interest and Taxes
Main Ratios
Current 2.15 3.12 3.65
Quick 1.30 1.22 1.74
Total Debt to Total
69.78% 49.74% 33.71%
Assets
Pre-tax Return on
0.34% 50.77% 78.03%
Net Worth
Pre-tax Return on
0.10% 25.51% 51.72%
Assets
Additional Ratios 2002 2003 2004
Net Profit Margin 0.02% 3.71% 8.77%
Return on Equity 0.24% 35.54% 54.62%
Activity Ratios
Inventory Turnover 10.91 5.59 5.57
Accounts Payable
6.11 12.17 12.17
Turnover
Payment Days 27 38 25
Total Asset
3.25 4.81 4.13
Turnover
Debt Ratios
Debt to Net Worth 2.31 0.99 0.51
Current Liab. to
0.67 0.64 0.81
Liab.
Liquidity Ratios
Net Working Capital $357,185 $423,737 $756,030
Interest Coverage 1.04 12.98 62.21
Additional Ratios
Assets to Sales 0.31 0.21 0.24
Current Debt/Total
47% 32% 27%
Assets
Acid Test 1.30 1.22 1.74
Sales/Net Worth 10.74 9.57 6.23
Dividend Payout 0.00 0.00 0.00
Edit this plan with Business Plan Pro
• 500+ customizable sample plans
• Step-by-step guide to create plans from scratch
• Lender and SBA-approved format
• #1 selling business plan software
• Certified for Windows Vista/XP/2000
Sample Plans | Articles | Tools | Software | Expert Advice | Resources
Home | Site Map | About Us | Contact Us
Copyright ©1996-2008 Palo Alto Software, Inc. All Rights Reserved
