official business plan

MNice

United Prairie Bank Integrated Business Experience Spring 2015

MNice Business Plan

Table of Contents

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CONFIDENTIAL - DO NOT DISSEMINATE. This business plan contains confidential, trade-secret information and is shared only with the understanding that you will not share its contents or ideas with third parties without the express written consent of the plan author.

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Mission Statement ……………………………………………………………………………….….3Situation Analysis ……………………………………………………………….…………………..3SWOT …………………………………………………………………………………………………….4Marketing Objectives …………………………………………………………………….………. 5Overall Target Market …………………………………………………………………………….8Market Segmentation…………………………………………………………………………….. 8Marketing Strategy ……………………………………………………………………………….. 9Cash Management………………………………………………………………………………… 12Inventory Management ………………………………………………………………………... 13Executive summary ……………………………………………………………………………… 14Financial Plan ………………………………………………………………………………………. 15Balance Sheet ………………………………………………………………………………………. 22Cash Flow Statement ……………………………………………………………………………. 23Appendix …………………………………………………………………………………………….. 25Budget ………………………………………………………………………………………………… 27Loans and Investments ………………………………………………………………………… 29Profit Loss Statement …………………………………………………………………………… 30Balance Sheet ………………………………………………………………………………………. 33Cash Flow Statement ……………………………………………………………………………. 36

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Mission Statement

At MNice, we aim to provide a variety of quality products to the students of MSU, faculty, alumni, and the greater Mankato area, with the ultimate goal of donating all profits to the Mankato Backpack Food Program and gaining valuable experience about business/entrepreneurship that is applicable to future endeavors.

Situation Analysis

Competition:

Apparel: Our direct competition consists of the bookstores both on and off campus, as well as Scheels. The on-campus bookstore sells men’s Under Armour half-zips for $49.98, men’s cotton T-shirts for $18.98, women’s Nike half-zips for $64.98 and women’s cotton T-shirts for $22.98. The off-campus bookstore sells men’s Under Armour half-zips for $59.99, men’s dry fit T-shirts for $29.99, women’s half zips for $54.99 and women’s cotton T-shirts for $29.95. Scheels offers men and women’s half-zips for $60.00 and cotton T-shirts for $24.00-$27.00. Since we are not making MSU, Mankato specific apparel, our indirect competition becomes much broader and is predominantly made up of Target, Kohl’s, Walmart as well as any other company that offers athletic half-zips and cotton T-shirts in the Mankato area. These stores offer plain half-zips for an average price of $49.95 and T-shirts for an average of $20.00 depending on design and material.

Hockey stick hangers: Our only competition for hockey stick hangers will come from online retail. Skichair, a company that re-purposes various sports equipment into functional products, offers a carbon hockey stick hanger for $69.95 as well as a wooden hockey stick hanger 59.95. Etsy.com, a website where artisans sell handmade products and crafts, has one seller of hockey stick hangers for $50.00.

Kato Kard: Our direct competition for the Kato Kard consists of Mankato West High Schools Scarlett card and Mankato East High Schools Cougar card. MWHS offers a discount brochure for $10.00 and has discounts at Big Dog Sports Café, Tandem Bagels, Axel’s Bonfire, BW3, Casey’s, Cub Foods, Dairy Queen West, Dino’s, Number 4, Neighbors Italian Bistro, Leeann Chin, Massad’s, Pizza Hut, Pub 500, Papa John’s, Olive’s, Kwik Trip, Taco John’s, Erbert and Gerbert’s and Pita Pit. Most of the discounts are re-usable, however there are a lot that are one-time use. Indirect competition for the Kato Kard would be the free gold discount book that is handed out in the CSU at the beginning of the school year.

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5K: According to gratermakatoevents.com, visitgreatermankato.com and roadracerunner.com, our direct competition for the 5K will be the YWCA ‘Girls on the Run’ 5K which is being held at Sibley Park on 25APR2015. The entrance fee for adults is $25.00 ($35.00 at the door) and $15.00 for children. Their national sponsors consist of Athleta, Lego, Secret’s ‘Mean Stinks’ campaign, Smartwool and Famous Footwear. Their media sponsors consist of the local radio stations Z99, 105.5, 95.7 and 103.5 KYSM. A second event is the ‘Walk a Mile in Her Shoes’ being held on 19APR2015 at Riverfront Park. The purpose is to raise awareness for men’s sexualized violence against women and the entrance fee is $25.00 as well. Sponsors could not be found for this event. Because those are the only two registered 5K’s during the month of April, we decided to have ours on 11APR2015 in order to position ourselves first for 5k’s being held in the spring.

SWOT:

Strengths: -Strength in numbers (more people = more ideas). -Support from previous IBE programs.-Knowledgeable of target market.-Made up of volunteers so everyone wants to be here.

Weaknesses: -Lack of business experience. -Finite amount of time to complete tasks, -Double the size of some previous programs could pose as a problem for communication.

Opportunities: -Significant demand for apparel by students/faculty/alumni. -Re-purposed products (like our hockey stick hanger) are very popular right now, being able to expand our business beyond the classroom, -People support non-profit charity work as well as the opportunity to support learning experiences.

Threats: -Other companies with similar products

-Risk products not selling well, -Discount cards offered by the local high schools,

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-People don’t respond well to our own designs, -Bound by school rules, -Apparel is a very saturated market, -Previous IBE programs have done clothing.

Marketing Objectives

Overall Objectives:

- Pay back loan 27APR2015- Sell 75 ½ zips and 100 T-Shirts by 22APR2015- Sell 30 hockey stick hangers by 22APR2015- 500 Kato Kards by 22APR2015- Get 150 people to sign up for our 5K by 10APR2015- Volunteer 200 hours for by 3MAY2015

Sales Forecast:

Apparel

We believe our apparel sales will start out high and taper off over time. We looked at one of the previous programs apparel sales (MavFit), and their sales did exactly that. Based on our 398 survey responses, we believe that 75 ½ zips and 100 T-Shirts will not be difficult to sell. We are also factoring in potential re-orders and set a cut-off date of 30MAR2015. Initial sales will dictate whether or not re-orders will be necessary.

Best(75 ½ zips, 100 T-Shirts)

Weeks 1 2 3 4 5 6 7 8 9½ zips 11 14 14 10 7 7 6 4 2Shirts 20 17 15 10 10 8 8 7 5

Expected(70 ½ zips, 80 T-Shirts)

Weeks 1 2 3 4 5 6 7 8 9½ zips 10 13 12 10 8 7 6 3 1

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Shirts 18 16 12 9 8 6 5 3 3

Worst(55 ½ zips, 65 T-Shirts)

Weeks 1 2 3 4 5 6 7 8 9½ zips 11 12 8 7 6 4 4 2 1Shirts 15 12 10 9 6 6 3 2 2

Hockey Stick Hangers

Since time constraints didn’t allow for marketing research of the hockey stick hanger, we are starting with a smaller initial batch of 30 hangers to test responsiveness. We are also planning on a straight-line sales forecast with weekly quotas. Since we can acquire more sticks/hardware very quickly and Garrett Houfer makes the hangers in house, we are not worried about re-order restrictions.

Best(30)

Weeks 1 2 3 4 5 6 7 8 9Hangers 4 4 4 3 3 3 3 3 3

Expected(25)

Weeks 1 2 3 4 5 6 7 8 9Hangers 3 3 3 3 3 3 3 2 2

Worst(21)

Weeks 1 2 3 4 5 6 7 8 9Hangers 3 3 3 2 2 2 2 2 2

Kato Kards

Much like the hockey stick hangers, time constraints didn’t allow us to conduct marketing research, which is why we are starting out with a smaller batch of 500 cards. Since we are going through MNSU promotions, we will be able to quickly re-order cards if necessary. We are planning on straight-line sales forecast for the cards as well, and giving everybody a

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weekly quota of 2 cards. Something to note is that since the cost of the card is so low, even with a worst-case scenario of 50 cards we are still making a profit.

Best(500)

Weeks 1 2 3 4 5 6 7 8 9Cards 56 56 56 56 56 55 55 55 55

Expected(300)

Weeks 1 2 3 4 5 6 7 8 9Cards 34 34 34 33 33 33 33 33 33

Worst(200)

Weeks 1 2 3 4 5 6 7 8 9 Cards 23 23 22 22 22 22 22 22 22

5K

Realistically, we believe that we can get 150 to attend our 5K. The forecast below shows a straight-line sales objective with weekly quotas for sign-ups. There will be day-of sign ups as well for a price of $25.00 instead of the regularly priced $20.00.

Best(175)

Weeks 1 2 3 4 5 6 7 8 9Runners signed

up

30 29 29 29 29 29 0 0 0

Expected(150)

Weeks 1 2 3 4 5 6 7 8 9Runners signed

up

25 25 25 25 25 25 0 0 0

Worst(120)

Weeks 1 2 3 4 5 6 7 8 9

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21K

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Runner signed

up

20 20 20 20 20 20 0 0 0

Overall Target Market:

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Greater Mankato Area

9%Students

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Market Segmentation:

Apparel: In developing a marketing mix, we decided an undifferentiated marketing strategy would be best to implement for apparel. Seeing that everybody buys apparel, it made the most sense to develop a product that would interest the entire population instead of specifically targeting one group.

Hockey Stick Hangers: Without a doubt, Minnesota is known as the state of hockey. Bleacherreport.com reported that the Minnesota wild have ranked 98.4% in attendance for the last six seasons. Also, the wild had a 409 game sellout streak that lasted from 2000-2009. Based on that information, we used psychographics to target the hockey fans of the above 21 thousand people, and develop the hockey stick hanger. Although we will still push this product on everyone, the number of MSU students will be limited to hockey fans. However, we will be taking extra steps to advertise towards youth hockey players.

Kato Kards: We decided an undifferentiated approach for the Kato Kard would be ideal as well. Since it’s a product that will benefit anybody residing in the greater Mankato area, we can advertise to all 21 thousand consumers above.

5K: Finally, we went with a predominantly undifferentiated strategy to attract people for the 5K. 5K’s are a great way for communities to come together for a good cause and get some exercise out of the deal. We will be targeting all of the above 21 thousand people, as well as taking extra steps to advertise to the MSU cross country team, Anytime Fitness runners club, The Runners Edge group runs as well as Moms Run This Town running group.

Marketing Strategy

Positioning:

With respect to apparel, we’re aiming to position ourselves as a provider of affordable, quality clothing to the students of Mankato as well as the surrounding population.

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Pricing:

Apparel: Based on our research of competitors, survey responses and access to wholesale pricing of $5.85 per T-Shirt and $22.00 per ½ zip, we are setting a competitive price of $15.00 for our T-Shirts and $40.00 for our ½ zips. We believe that these prices offer affordable alternatives to our competitors and provide an adequate profit margin for ourselves.

Hockey stick hangers: Since it will cost us $20.00 to manufacture a hockey stick hanger, we believe that $40.00 is an excellent profit margin for our company, as well as an excellent alternative to the competitions hangers that are priced from $50.00-$65.95.

Kato Kards: Seeing that our direct competition for the Kato Kard is Mankato East and West high schools, we feel that matching their price of $10.00 is the best marketing move. Reason being is that since the cost of the card is only $0.73, the profit margin is still 1,269%.

5K: Considering the YWCA 5K and the Walk a mile in her shoes 5K are priced at $25.00, we are pricing our 5K at $20.00. Since the expenses to run a 5K are so minimal, and we believe it’s a good opportunity to push our other products, $20.00 is a competitive price that still yields a favorable return.

Promotion:

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Advertising: Pending approval from the CSU operations office, we will be placing an advertisement order through MNSU promotions that will consist of 100 table tents to be placed in the MSU library as well as the CSU, 400 3.5”x5.5” flyers that will be frequently handed out by everyone in the IBE. We are also ordering 100 8.5”x11” posters that will be hung in the CSU, library, Otto recreation center, Myers field house and educational buildings. Finally we’re ordering 1 2’x3’ laminated poster that will on a sandwich board in the CSU.

Social Media: We are currently running a Facebook page, Instagram account as well as a twitter page. As of 18FEB2015, our Facebook page has 167 likes, our Instagram has 79 followers, and our twitter account has 31 followers. We plan to utilize each of these sites with weekly posts that not only promote our products but our 5K as well.

Publicity: We are currently working on placing advertisements in the MSU Weekly Reporter. Also, we are working on putting flyers for our 5K as well as the Kato Kard into the pre-packed lunches that are sent home with kids from the Mankato Backpack Food Program.

Sales Promotion: The only promotion we are offering is that any excess inventory on 17APR2015 is going to be discounted by a percentage that will be determined on how much excess inventory we have.

Word of Mouth: Considering we’re college students, word of mouth is going to be large part of our business. Everyone in the program this semester has friends, roommates and family members that are excited to support this opportunity.

Place:

Apparel: Will be sold at booths in the CSU/Myers field house during high traffic times throughout the day. We plan on consistently tabling during the practicum time of 2:00pm-3:30pm Mondays and Wednesdays. Unfortunately, the school calendar only schedules out 2 weeks at a time therefore we cannot include tabling dates for events at this time.

Hockey Stick Hangers: Will be sold at booths in the CSU/Myers field house during high traffic times throughout the day. We will also sell at hockey tournaments in the Mankato area. Specifically, the All Seasons Arena has hockey games happening all day on 7APR2015 as well as 14APR2015.

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Kato Kards: Will be sold at booths in the CSU/Myers field house during high traffic times throughout the day. We plan on consistently tabling during the practicum time of 2:00pm-3:30pm Mondays and Wednesdays. We will also be selling the card from door to door.

Cash Management Cash will be stored in pouches at 234 stadium road apt 204. The apartment is part of University Square Village Apartments: Village 1, conveniently across from campus for easy access. The apartment building requires a key to get into that only residents in that building can open with their apartment key. Than further on there is a pad lock on the door for apt 204, which only the four residents have. Three of the four residents are in the United Prairie IBE program and are executive members. Connor Phares, Felipe Villalaz, and Chris Ritter being Vice President, Vice President of Marketing, and Chief Financial Officer respectively. The pouches will be stored in Chris’s room as he doesn’t sleep at the apartment and the door to remain locked. There will be 3 pouches in total, two change pouches, and a revenue pouch. Each change pouch will contain a $100 of smaller bills and change, including $10 in quarters, $1 in pennies, and $2 in nickels for coins. Than three $10 bills, 6 $5 bills and $27 one dollar bills. There will be a sheet for people to check out change pouches and check them back in after their done with selling (Example chart at bottom of the page). Whoever the pouch is checked back in with will then be in charge of counting up the money, keeping $100 in the pouch at all time and replenishing change if need be. The revenue money will be counted up, and then double checked with the sale transactions sheet (explained further below) to make sure no money was lost. That money will then be placed in the third pouch, where all revenues are placed and then deposited every Friday to the bank. Connor will be the primary person in charge of the cash management for consistency, with Felipe and Chris also with the ability to do so for convenience, if unavailable for an event or selling time. Along with the cash pouch being sent out, a blank sales transaction sheet will be sent out with it. This will record every transaction made and will be a table filling a whole sheet of paper looking like the example below. Transaction #

Items Sold Cash Received orCredit

Change given back (if needed) Initials of Seller

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This will allow Connor to double check that no extra cash was given out, and if so pinpoint it, and making sure that the cash transactions match up with the amount of inventory sold. “Cash Received” column minus the “Change Given Back” column for each item represent the cash inflow minus the cash outflow of the company and should be the revenue made from each product. All the revenues added up should equal the amount in the cash bag given to one of the three officers minus the original $100 in the bag. The sheets will then be recorded on one document to show all cash transaction made throughout the history of the company.

Inventory management Inventory will also be held at the same spot as cash management, building 234 apartment 204. Inventory will be checked out with the cash pouches and written down also on the same sheet (Seen Below). The amount of each item of inventory will be recorded as checked out and when brought back will be recounted and then recorded. The difference between the “inventory recorded checked out” subtracted by the “inventory checked in”, will leave the amount of inventory sold during that selling period. This number can then be double checked with the sale transaction sheet’s “items sold” column added up.

Event/ selling promotion

Cash pouch check out time

Cash pouch check in time

Amount Inventory checked out

Amount of Inventory checked in

Square check out

Square check in

Sign Name Here

These will also be recorded on one master sheet, with an additional column showing the amount of inventory sold for the Event/ Sale Promotion (inventory checked out – inventory checked in) and then those added up for the week to show the amount of inventory sold for the week to compare for forecast, and then subtracted from the inventory account balance from the previous week.

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MNiceExecutive Summary

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Financial PlanRevenue Forecast

FY2015 FY2016 FY2017

Revenue1/2 Zip $2,800 $0 $0T-Shirt $1,200 $0 $0Hockey Stick Hanger $1,000 $0 $0Kato Kards $3,000 $0 $05K $3,000 $0 $0

Total Revenue $11,000 $0 $0

Direct Cost1/2 Zip $1,540 $0 $0T-Shirt $468 $0 $0Hockey Stick Hanger $479 $0 $0Kato Kards $219 $0 $05K $750 $0 $0

Total Direct Cost $3,456 $0 $0Gross Margin $7,544 $0 $0

Gross Margin % 69% 0% 0%

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Revenue by Week

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Budget

FY2015 FY2016 FY2017

Operating ExpensesSalary $0 $0 $0Employee Related Expenses $0 $0 $0Marketing & Promotions $200 $0 $0Rent $0 $0 $0Utilities $0 $0 $0Office Supplies $0 $0 $0Insurance $45 $0 $0Loan Transaction Cost $110 $0 $0

Total Operating Expenses $355 $0 $0

Major PurchasesQuarter Zip $1,650 $0 $0T-Shirts $585 $0 $0Hockey Sticks $600 $0 $0Kato Kards $365 $0 $05K T-shirts $875 $0 $0

Total Major Purchases $4,075 $0 $0

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Expenses by Week

Cash Flow Assumptions

Cash Inflow% of Sales on Credit 40%Avg Collection Period (Days) 0

Cash Outflow% of Purchases on Credit 0%

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Loans and Investments

FY2015 FY2016 FY2017United Prairie Bank LoanLoan at 0% interest for 9 mos. $4,050 $0 $0

Total Amount Received $4,050 $0 $0

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Profit and Loss Statement

FY2015 FY2016 FY2017

Revenue $11,000 $0 $0

Direct Cost $3,456 $0 $0Gross Margin $7,544 $0 $0

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Operating ExpensesSalary $0 $0 $0Employee Related Expenses $0 $0 $0Marketing & Promotions $200 $0 $0Rent $0 $0 $0Utilities $0 $0 $0Office Supplies $0 $0 $0Insurance $45 $0 $0Loan Transaction Cost $110 $0 $0


Operating Income $7,189 $0 $0Interest Incurred $0 $0 $0Depreciation and Amortization $0 $0 $0Income Taxes $0 $0 $0

Total Expenses $3,811 $0 $0Net Profit $7,189 $0 $0Net Profit / Sales 65% 0% 0%

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Gross Margin by Year

Net Profit (or Loss) by Year

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Balance Sheet

As of Period's End FY2015 FY2016 FY2017Cash $3,114 $3,114 $3,114Accounts Receivable $0 $0 $0Inventory $0 $0 $0

Total Current Assets $3,114 $3,114 $3,114Long-Term Assets $4,075 $4,075 $4,075Accumulated Depreciation $0 $0 $0

Total Long-Term Assets $4,075 $4,075 $4,075

Total Assets $7,189 $7,189 $7,189Accounts Payable $0 $0 $0Sales Taxes Payable $0 $0 $0Short-Term Debt $0 $0 $0

Total Current Liabilities $0 $0 $0Long-Term Debt $0 $0 $0

Total Liabilities $0 $0 $0Paid-In Capital $0 $0 $0Retained Earnings $0 $7,189 $7,189Earnings $7,189 $0 $0

Total Owner's Equity $7,189 $7,189 $7,189

Total Liabilities & Equity $7,189 $7,189 $7,189

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Cash Flow Statement

FY2015 FY2016 FY2017

OperationsNet Profit $7,189 $0 $0Depreciation and Amortization $0 $0 $0Change in Accounts Receivable $0 $0 $0Change in Inventory $0 $0 $0Change in Accounts Payable $0 $0 $0Change in Sales Taxes Payable $0 $0 $0

Net Cash Flow from Operations $7,189 $0 $0

Investing & FinancingAssets Purchased or Sold ($4,075) $0 $0Investments Received $0 $0 $0Change in Short-Term Debt $0 $0 $0Change in Long-Term Debt $0 $0 $0

Net Cash Flow from Investing & Financing ($4,075) $0 $0

Cash at Beginning of Period $0 $3,114 $3,114Net Change in Cash $3,114 $0 $0

Cash at End of Period $3,114 $3,114 $3,114

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Cash Flow by Week

Cash Flow by Year

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AppendixRevenue Forecast

FY2015 Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15 Aug '15 Sep '15 Oct '15 Nov '15 Dec '15

Revenue

1/2 Zip $400 $520 $480 $400 $320 $280 $240 $120 $40 $0 $0 $0

T-Shirt $270 $240 $180 $135 $120 $90 $75 $45 $45 $0 $0 $0

Hockey Stick Hanger $120 $120 $120 $120 $120 $120 $120 $80 $80 $0 $0 $0

Kato Kards $340 $340 $340 $330 $330 $330 $330 $330 $330 $0 $0 $0

5K $500 $500 $500 $500 $500 $500 $0 $0 $0 $0 $0 $0

Total Revenue $1,630 $1,720 $1,620 $1,485 $1,390 $1,320 $765 $575 $495 $0 $0 $0

Direct Cost

1/2 Zip $220 $286 $264 $220 $176 $154 $132 $66 $22 $0 $0 $0

T-Shirt $105 $94 $70 $53 $47 $35 $29 $17 $18 $0 $0 $0

Hockey Stick Hanger $57 $58 $57 $58 $57 $58 $57 $39 $38 $0 $0 $0

Kato Kards $25 $25 $24 $25 $24 $24 $24 $24 $24 $0 $0 $0

5K $125 $125 $125 $125 $125 $125 $0 $0 $0 $0 $0 $0

Total Direct Cost $532 $588 $540 $481 $429 $396 $242 $146 $102 $0 $0 $0

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Gross Margin $1,098 $1,132 $1,080 $1,004 $961 $924 $523 $429 $393 $0 $0 $0

Gross Margin % 67% 66% 67% 68% 69% 70% 68% 75% 79% 0% 0% 0%

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FY2015 FY2016 FY2017

Revenue

1/2 Zip $2,800 $0 $0

T-Shirt $1,200 $0 $0

Hockey Stick Hanger $1,000 $0 $0

Kato Kards $3,000 $0 $0

5K $3,000 $0 $0

Total Revenue $11,000 $0 $0

Direct Cost

1/2 Zip $1,540 $0 $0

T-Shirt $468 $0 $0

Hockey Stick Hanger $479 $0 $0

Kato Kards $219 $0 $0

5K $750 $0 $0

Total Direct Cost $3,456 $0 $0

Gross Margin $7,544 $0 $0


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BudgetFY2015 Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15 Aug '15 Sep '15 Oct '15 Nov '15 Dec '15

Operating Expenses

Salary $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Employee Related Expenses

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Marketing & Promotions $25 $25 $25 $25 $25 $25 $25 $15 $10 $0 $0 $0

Rent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Utilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Office Supplies $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Insurance $15 $0 $0 $0 $15 $0 $0 $0 $15 $0 $0 $0

Loan Transaction Cost

$110 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Total Operating Expenses

$150 $25 $25 $25 $40 $25 $25 $15 $25 $0 $0 $0

Major Purchases

Quarter Zip $1,650 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

T-Shirts $585 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Hockey Sticks $600 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Kato Kards $365 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

5K T-shirts $0 $0 $0 $875 $0 $0 $0 $0 $0 $0 $0 $0

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Total Major Purchases $3,200 $0 $0 $875 $0 $0 $0 $0 $0 $0 $0 $0

FY2015 FY2016 FY2017

Operating Expenses

Salary $0 $0 $0

Employee Related Expenses $0 $0 $0

Marketing & Promotions $200 $0 $0

Rent $0 $0 $0

Utilities $0 $0 $0

Office Supplies $0 $0 $0

Insurance $45 $0 $0

Loan Transaction Cost $110 $0 $0


Major Purchases

Quarter Zip $1,650 $0 $0

T-Shirts $585 $0 $0

Hockey Sticks $600 $0 $0

Kato Kards $365 $0 $0

5K T-shirts $875 $0 $0

Total Major Purchases $4,075 $0 $0

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Loans and Investments


United Prairie Bank LoanLoan at 0% interest for 9 mos.

$4,050 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Total Amount Received

$4,050 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

FY2015 FY2016 FY2017

United Prairie Bank LoanLoan at 0% interest for 9 mos. $4,050 $0 $0

Total Amount Received $4,050 $0 $0

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Profit and Loss StatementFY2015 Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15 Aug '15 Sep '15 Oct '15 Nov '15 Dec '15

Revenue $1,630 $1,720 $1,620 $1,485 $1,390 $1,320 $765 $575 $495 $0 $0 $0

Direct Cost $532 $588 $540 $481 $429 $396 $242 $146 $102 $0 $0 $0

Gross Margin $1,098 $1,132 $1,080 $1,004 $961 $924 $523 $429 $393 $0 $0 $0

Gross Margin % 67% 66% 67% 68% 69% 70% 68% 75% 79% 0% 0% 0%

Operating Expenses

Salary $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Employee Related Expenses

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Marketing & Promotions $25 $25 $25 $25 $25 $25 $25 $15 $10 $0 $0 $0

Rent $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Utilities $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Office Supplies $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Insurance $15 $0 $0 $0 $15 $0 $0 $0 $15 $0 $0 $0

Loan Transaction Cost

$110 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Total Operating Expenses

$150 $25 $25 $25 $40 $25 $25 $15 $25 $0 $0 $0

Operating Income $948 $1,107 $1,055 $979 $921 $899 $498 $414 $368 $0 $0 $0

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Interest Incurred $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Depreciation and Amortization

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Income Taxes $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Total Expenses $682 $613 $565 $506 $469 $421 $267 $161 $127 $0 $0 $0

Net Profit $948 $1,107 $1,055 $979 $921 $899 $498 $414 $368 $0 $0 $0

Net Profit / Sales 58% 64% 65% 66% 66% 68% 65% 72% 74% 0% 0% 0%

33


FY2015 FY2016 FY2017

Revenue $11,000 $0 $0

Direct Cost $3,456 $0 $0

Gross Margin $7,544 $0 $0


Operating Expenses

Salary $0 $0 $0

Employee Related Expenses $0 $0 $0

Marketing & Promotions $200 $0 $0

Rent $0 $0 $0

Utilities $0 $0 $0

Office Supplies $0 $0 $0

Insurance $45 $0 $0

Loan Transaction Cost $110 $0 $0


Operating Income $7,189 $0 $0

Interest Incurred $0 $0 $0

Depreciation and Amortization $0 $0 $0

Income Taxes $0 $0 $0

Total Expenses $3,811 $0 $0

Net Profit $7,189 $0 $0

Net Profit / Sales 65% 0% 0%

34


Balance Sheet

As of Period's End Jan '15 Feb '15 Mar '15 Apr '15 May '15 Jun '15 Jul '15 Aug '15 Sep '15 Oct '15 Nov '15 Dec '15

Cash $1,798 $2,455 $3,060 $2,714 $3,185 $3,634 $3,682 $3,646 $3,564 $3,114 $3,114 $3,114

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

$1,798 $2,455 $3,060 $2,714 $3,185 $3,634 $3,682 $3,646 $3,564 $3,114 $3,114 $3,114

Long-Term Assets $3,200 $3,200 $3,200 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075

Accumulated Depreciation $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Total Long-Term Assets $3,200 $3,200 $3,200 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075 $4,075

Total Assets $4,998 $5,655 $6,260 $6,789 $7,260 $7,709 $7,757 $7,721 $7,639 $7,189 $7,189 $7,189

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 $4,050 $3,600 $3,150 $2,700 $2,250 $1,800 $1,350 $900 $450 $0 $0 $0

Total Current Liabilities

$4,050 $3,600 $3,150 $2,700 $2,250 $1,800 $1,350 $900 $450 $0 $0 $0

Long-Term Debt $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

35


Total Liabilities $4,050 $3,600 $3,150 $2,700 $2,250 $1,800 $1,350 $900 $450 $0 $0 $0

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 $948 $2,055 $3,110 $4,089 $5,010 $5,909 $6,407 $6,821 $7,189 $7,189 $7,189 $7,189

Total Owner's Equity

$948 $2,055 $3,110 $4,089 $5,010 $5,909 $6,407 $6,821 $7,189 $7,189 $7,189 $7,189

Total Liabilities & Equity

$4,998 $5,655 $6,260 $6,789 $7,260 $7,709 $7,757 $7,721 $7,639 $7,189 $7,189 $7,189

36


As of Period's End FY2015 FY2016 FY2017

Cash $3,114 $3,114 $3,114

Accounts Receivable $0 $0 $0

Inventory $0 $0 $0

Total Current Assets $3,114 $3,114 $3,114

Long-Term Assets $4,075 $4,075 $4,075

Accumulated Depreciation $0 $0 $0

Total Long-Term Assets $4,075 $4,075 $4,075

Total Assets $7,189 $7,189 $7,189

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 $0 $0 $0

Total Liabilities $0 $0 $0

Paid-In Capital $0 $0 $0

Retained Earnings $0 $7,189 $7,189

Earnings $7,189 $0 $0

Total Owner's Equity $7,189 $7,189 $7,189

Total Liabilities & Equity $7,189 $7,189 $7,189

37


Cash Flow Statement


Operations

Net Profit $948 $1,107 $1,055 $979 $921 $899 $498 $414 $368 $0 $0 $0

Depreciation and Amortization

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Change in Accounts Receivable

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Change in Inventory $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Change in Accounts Payable

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Change in Sales Taxes Payable

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Net Cash Flow from Operations

$948 $1,107 $1,055 $979 $921 $899 $498 $414 $368 $0 $0 $0

Investing & Financing

Assets Purchased or Sold

($3,200) $0 $0 ($875) $0 $0 $0 $0 $0 $0 $0 $0

Investments Received $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Change in Short-Term Debt

$4,050 ($450) ($450) ($450) ($450) ($450) ($450) ($450) ($450) ($450) $0 $0

38


Change in Long-Term Debt

$0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0 $0

Net Cash Flow from Investing & Financing

$850 ($450) ($450) ($1,325) ($450) ($450) ($450) ($450) ($450) ($450) $0 $0

Cash at Beginning of Period

$0 $1,798 $2,455 $3,060 $2,714 $3,185 $3,634 $3,682 $3,646 $3,564 $3,114 $3,114

Net Change in Cash $1,798 $657 $605 ($346) $471 $449 $48 ($36) ($82) ($450) $0 $0

Cash at End of Period $1,798 $2,455 $3,060 $2,714 $3,185 $3,634 $3,682 $3,646 $3,564 $3,114 $3,114 $3,114

39


FY2015 FY2016 FY2017

Operations

Net Profit $7,189 $0 $0

Depreciation and Amortization $0 $0 $0

Change in Accounts Receivable $0 $0 $0

Change in Inventory $0 $0 $0

Change in Accounts Payable $0 $0 $0

Change in Sales Taxes Payable $0 $0 $0

Net Cash Flow from Operations $7,189 $0 $0

Investing & Financing

Assets Purchased or Sold ($4,075) $0 $0

Investments Received $0 $0 $0

Change in Short-Term Debt $0 $0 $0

Change in Long-Term Debt $0 $0 $0

Net Cash Flow from Investing & Financing ($4,075) $0 $0

Cash at Beginning of Period $0 $3,114 $3,114

Net Change in Cash $3,114 $0 $0

Cash at End of Period $3,114 $3,114 $3,114

40


41


official business plan

Documents