TEMPLATE Financial Projections Workbook

7/31/2019 TEMPLATE Financial Projections Workbook

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Community Futures Financial Projection Model

Please read this entire page before you do anything elseThe "Notes" tab provides additional instructions.This spreadsheet walks you through the process of developing an integrated set of financial projections.

To use this model, simply complete any information asked for found in the color yellow.Example: Fill in boxes that look like th -

A number found in the color green is optional information that you can complete.Example: Check these assumptions -

Otherwise, any information found in black type is automatically calculated for you.Although the cells that are calculated are locked (or protected), you can turn off this protection to modify the sheets.To do this, select "Tools" from the menu bar at the top of the screen. Then select, "Protection."Finally, select "Unprotect Sheet" and you will be able to edit any labels or formulas.

Before you begin, we need some information about your business to best customize your financial statements.Please enter the name of your business in the box below:

The first seven worksheets in this workbook are steps you will need to complete. They are titled:1. Required Start-Up Funds2. Salaries and Wages3. Fixed Operating Expenses4. & 5. Projected Sales Forecast (2 sheets)6. Cash Receipts and Disbursements

Begin by clicking on the tabs below

If "green" cells have formulas in them to start with and are then overwritten, the dependent calculations will not be correct and will need to be updated manually

7. Assumptions-put all the information & research that you found torationalize/justify the assumptions you used in the other worksheets on thisspreadsheet


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Community Futures Notes to Financial Statements Template

Tab Worksheet Notes

Introduction Follow the instructions on the introduction tab. Enter the name of the business in the area shown. Asstated, the information entered on the 1st 6 worksheets (tabs) will flow to the statements on worksheets7 through 21.

1 Required start-up funds Enter the start-up funds required to start the business only - not any ongoing monthly expenses.For a start-up business They will be entered in worksheets 2 and 3. Also complete the sources of funding to equal the total

required funds. Alter the depreciation years if necessary. Change the interest rates and paymentterms to fit the profile of interest-bearing debt.Owner's Equity contribution includes both cash and other assets contributions into the businessentity, such as Fixed Assets or prepaid expenses that would be amortized as the business beginsdoing business.

For an existing business Enter the starting point Balance Sheet data here. In line 29, Working Capital,enter the total of Cash + Accounts Receivable + Prepaid Expense - Accounts Payable - AccruedExpense. These items are cash or sums that will be turned into cash or paid out of cash shortly.

2 Salaries and wages Enter monthly wages for employees as well as owner's salaries or compensation. Add the cost of anyother benefits you may have that are not calculated--i.e., insert the appropriate % numbers in col. G

3 Fixed operating expenses Enter the monthly costs in the expenses section. Other expenses are calculated from "sourcesof funding" and "cash flow" information. Alter the labels if necessary.

4 & 5 Sales Sales are entered by month using projected units of sales. Enter the # of units by month for year one.The selling price per unit and variable cost per unit must be entered The cost per unit would notinclude wages or other fixed expenses but would be other variable costs of material and productionlabor spent on a unit of sales.4 sections are provided on tabs 4 and 5 for different type sales.

A unit of sale could be a job such as in a service business. The price per unit could represent theaverage selling price of a job and also show the average cost. If your sales consist of many smallsales you may need to simplify by entering total monthly sales under units and use 1$ as theselling price and % of $1 as the variable cost per unit.

If a Start-up Business, be sure to properly account for a growth in sales. Most new businesses aren'table to be operating at maximum capacity right away: it takes time to grow your business and brand.

Also, be sure to take into account any seasonality factors in your monthly sales projections.


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Adjust the % Overhead Allocation depending on the Sales Mix of your products. For example, if you intendon generating 60% of revenues from Clothing and 40% from Food Sales, adjust the % Overhead Allocationto account for this sales mix breakdown.

6 Cash receipts/Disbursements Enter the estimated % of when you realistically expect payment from your customers and when

you will pay your suppliers. Also enter a minimum cash balance you want to keep on hand.In line 22, enter the interest rate assumed for bank Line of Credit borrowings.In line 25, enter the rate of all federal, state and local taxes as a % of pre-tax income.

7 Beginning balance sheet DO NOT USE THIS PAGE. THIS PAGE IS HIDDEN AND USED FOR FORMATING PURPOSES ONLY

8 to 15 Statements/analysis Using the input from Tabs 1-6, income statements, cash flow statements, balance sheets are compiledas well as a break-even analysis and amortization schedule.

9 Cash Flow Schedules Use the lines outlined in green to insert expected or planned new Fixed Assets expenditures,increases in Inventory to support increasing sales levels, line of credit repayments and dividend distributionNote that line 40 shows month end Line of Credit bank borrowings, on which interest expense isautomatically calculated and inserted into the P&L and Cash Flow statements.

12 Financial Ratios Insert industry norms for comparison purposes.Go to: www.ic.gc.ca/eic/site/pp-pp.nsf/eng/home to create a Benchmarking Report

15 Financial Diagnostics Review this page to see if any of your calculations appear to be realistic or unrealistic.


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0 12-Jun-12Required Start-Up Funds for a New Business orOpening Balance Sheet for an Existing Business

Required Start-Up Funds Amount Totals Depreciation NotesFixed Assets

Real Estate-Land -$Buildings 20.00 yearsLeasehold Improvements - 5.00 years AEquipment - 5.00 years BFurniture and Fixtures - 5.00 yearsVehicles - 5.00 yearsOther Fixed Assets - 5.00 years

Total Fixed Assets -

Operating CapitalPre-Opening Salaries and Wages - Prepaid Insurance PremiumsInventory - CLegal and Accounting Fees - DRent Deposits - EUtility Deposits - FSupplies - Advertising and Promotions - GLicenses - HOther Initial Start-Up Costs -

Working Capital (Cash On Hand) - ITotal Operating Capital -

Total Required Funds -$

Sources of Funding Amount Totals Loan Rate Term in Months Monthly PaymentsOwner's Equity 0.00% - Outside Investors 0.00% - Additional Loans or Debt

Commercial Loan 0.00% - 9.00% 72.00 $0.00Commercial Mortgage 0.00% - 8.00% 240.00 $0.00Credit Card Debt 0.00% - 7.00% 60.00 $0.00Vehicle Loans 0.00% - 6.00% 48.00 $0.00

Other Bank Debt 0.00% - 5.00% 36.00 $0.00Total Sources of Funding 0.00% -$ $0.00

Note#: For existing businesses, this should be the "bucket" of cash plus recievables that willbe turned into cash or payables paid out in cash in the near term (i.e. in the first month of the plan)If "green" cells have formulas in them to start with and are then overwritten, the dependent calculations will not be correct and will need to be updated manually

For existing businesses = Cash+Ppd Exp+A/R-A/P-Accrd ExpSee Note below#


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0 12-Jun-12

Salaries and Wages

Salaries and Related Expenses # Assumptions Monthly Year One Notes

Percent Change

Salaries and WagesOwner's Compensation 0 -$ - J

Salaries 0 - Wages

Full-Time Employees 0 - - Estimated Hours Per Week 40.00 Estimated Rate Per Hour 9.00$

Part-Time Employees 0 - - KEstimated Hours Per Week 19.00 Estimated Rate Per Hour 9.00$

Independent Contractors - - Total Salaries and Wages 0 - -

Payroll Taxes and BenefitsCPP/EI/WCB, etc (approx 15%) 15.00% - -

Total Payroll Taxes and Benefits - -

Total Salaries and Related Expenses - -



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0 12-Jun-12

Fixed Operating Expenses

Fixed Operating Expenses Monthly Year One Notes

ExpensesAdvertising, promotion, marketing -$ - LAutomobile (gas, R+M, Insurance) - - Bank Charges (account, credit card fees, - -

Business Insurance - - Equipment purchases - - Freight and Other - - Inventory - - Legal and Accounting - - Licenses and Municipal Taxes - - Office Supplies - - Renovations/Leasehold Improvements - - Rental - Premises / damage deposit - - Rentals - Other (equipment, etc.) - -

Repairs and Maintenance - Premises/Equi - - Salaries - Management - - Salaries - Other - - Telephone - - Travel - - Utilities (heat, light, water, etc) - - Other ______________________ - - Other ______________________ - - Other ______________________ - - Other ______________________ - -

Total Expenses - -

Other ExpensesDepreciation - - Automatically calculated from Tab 1Interest

Commercial Loan - - Automatically calculated from Tab 14Commercial Mortgage - - Line of Credit - - Automatically calculated from Tab 8Credit Card Debt - - Vehicle Loans - -

Other Bank Debt - - Total Other Expenses - -

Total Fixed Operating Expenses - -


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0 12-Jun-12Projected Sales Forecast

Products and Services Assumptions % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Totals Notes

Product/Service APrice Per Unit -$ 100.00%Variable Cost Per Unit -$ 0.00%Gross Margin Per Unit -$ 0.00% NProjected Unit Sales

Seasonality Factor 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Year One - - - - - - - - - - - - - M

Overhead Exp Allocation 100.00%

Projected Revenue -$Variable Costs - Gross Margin - Overhead Expenses - Profit - 0.00%

Breakeven Sales Revenu -$Breakeven Sales Units -

Product/Service BPrice Per Unit -$ 100.00%Variable Cost Per Unit -$ 0.00%Gross Margin Per Unit -$ 0.00%Projected Unit Sales

Seasonality Factor 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Year One - - - - - - - - - - - - -






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0 12-Jun-12

Projected Sales Forecast - Page 2

Products and Services Assumptions % Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Totals

Product/Service CPrice Per Unit -$ 100.00%Variable Cost Per Unit -$ 0.00%Gross Margin Per Unit -$ 0.00%

Projected Unit SalesSeasonality Factor 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Year One - - - - - - - - - - - - -




Product/Service DPrice Per Unit -$ 100.00%Variable Cost Per Unit -$ 0.00%Gross Margin Per Unit -$ 0.00%

Projected Unit SalesSeasonality Factor 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00% 0.00%Year One - - - - - - - - - - - - -






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0 12-Jun-12

Cash Receipts and Disbursements

Accounts Receivable Collections NotesPercent of Collections

0 to 30 days 100.00% O31 to 60 days 0.00%More than 60 days 0.00%

Total Collections Percentage 100.00%

Accounts Payable DisbursementsNumber of Days to Pay Suppliers

0 to 30 days 100.00% P31 to 60 days 0.00%More than 60 days 0.00%

Total Disbursements Percentage 100.00%

Line of Credit AssumptionsDesired Minimum Cash Balance -$ QLine of Credit Interest Rate 8.00%

Income Tax AssumptionsEffective Income Tax Rate 20.00%

Amortization of Start-Up ExpensesAmortization Period in Years 1.00


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0 06/12/12Assumptions

# Item How you arrived at this assumption

E.g. Initial advertising and promotion cost of $3000

Based on research done on XYZ website, and from talking to 2 other similar store owners in Williams Lakeand Dawson Creek:2 - 1/4 page ads in the Observer to run the first week of operations - $700Business cards printed and designed -$400Brochures for grand opening - $750Ratio ad blitz 1 week before opening and during first week of operations - $550Coffee/Snacks/Door Prizes/Balloons - $600

123

456789

1011121314

151617181920212223242526272829303132333435


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0Projected Income Statement - Year One

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

IncomeProduct/Service A - - - - - - - - - - - - Product/Service B - - - - - - - - - - - -

Total Income - - - - - - - - - - - -

Cost of SalesProduct/Service A - - - - - - - - - - - - Product/Service B - - - - - - - - - - - -

Total Cost of Sales - - - - - - - - - - - -

Gross Margin - - - - - - - - - - - -

Total Salary and Wages - - - - - - - - - - - -

Fixed Business ExpensesAdvertising, promotion, marketing - - - - - - - - - - - - Automobile (gas, R+M, Insurance) - - - - - - - - - - - - Bank Charges (account, credit card fees, etc.) - - - - - - - - - - - - Business Insurance - - - - - - - - - - - - Equipment purchases - - - - - - - - - - - -

Freight and Other - - - - - - - - - - - - Office Supplies - - - - - - - - - - - - Renovations/Leasehold Improvements - - - - - - - - - - - - Rental - Premises / damage deposit - - - - - - - - - - - - Rentals - Other (equipment, etc.) - - - - - - - - - - - - Repairs and Maintenance - Premises/Equipment - - - - - - - - - - - - Salaries - Management - - - - - - - - - - - - Salaries - Other - - - - - - - - - - - - Telephone - - - - - - - - - - - - Travel - - - - - - - - - - - -

Utilities (heat, light, water, etc) - - - - - - - - - - - - Other ______________________ - - - - - - - - - - - - Other ______________________ - - - - - - - - - - - - Other ______________________ - - - - - - - - - - - - Other ______________________ - - - - - - - - - - - -

Total Fixed Business Expenses - - - - - - - - - - - -


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0Projected Income Statement - Year One

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov DecOther Expenses

Amortized Start-up Expenses - - - - - - - - - - - - Depreciation - - - - - - - - - - - - Interest

Commercial Loan - - - - - - - - - - - - Commercial Mortgage - - - - - - - - - - - - Line of Credit - - - - - - - - - - - - Credit Card Debt - - - - - - - - - - - - Vehicle Loans - - - - - - - - - - - - Other Bank Debt - - - - - - - - - - - -

Taxes - - - - - - - - - - - - Total Other Expenses - - - - - - - - - - - -

Net Income - - - - - - - - - - - -


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Totals

- -

- - - - - - - -

-


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0

Projected Cash Flow Statement - Year One

Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Totals

Beginning Cash Balance - - - - - - - - - - - -

Cash InflowsIncome from Sales - - - - - - - - - - - - -

Accounts Receivable - - - - - - - - - - - - - Total Cash Inflows - - - - - - - - - - - - -

Cash OutflowsInvesting Activities

New Fixed Assets Purchases - - - - - - - - - - - - - Inventory Addition to Bal.She - - - - - - - - - - - - - Cost of Sales - - - - - - - - - - - - -

Operating ActivitiesSalaries and Wages - - - - - - - - - - - - -

Fixed Business Expenses - - - - - - - - - - - - - Taxes - - - - - - - - - - - - - Financing Activities -

Loan Payments - - - - - - - - - - - - - Line of Credit Interest - - - - - - - - - - - - - Line of Credit Repayments - - - - - - - - - - - - - Dividends Paid - - - - - - - - - -

Total Cash Outflows - - - - - - - - - - - - -

Cash Flow - - - - - - - - - - - - -

Operating Cash Balance - - - - - - - - - - - -

Line of Credit Drawdowns - - - - - - - - - - - - -

Ending Cash Balance - - - - - - - - - - - -

Line of Credit Balance - - - - - - - - - - - -


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0

Balance Sheet - Year One

Base Period End of Year One

AssetsCurrent Assets

Cash - - Accounts Receivable - -

Inventory - - Prepaid Expenses - - Other Current - -

Total Current Assets - -

Fixed AssetsReal Estate-Land - - Buildings - - Leasehold Improvements - - Equipment - -

Furniture and Fixtures - - Vehicles - - Other Fixed Assets - -

Total Fixed Assets - -

Less: Accumulated Depreciation - -

Total Assets - -

Liabilities and Owner's EquityLiabilities

Accounts Payable - - Loan Payable - - Mortgage Payable - - Credit Card Debt - - Vehicle Loans - - Other Bank Debt - - Line of Credit Balance - -

Total Liabilities - -

Owner's EquityCommon Stock - - Retained Earnings - - Dividends Dispersed - -

Total Owner's Equity - -

Total Liabilities and Owner's Equity - -


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0Year End Summary

Year One %

Income

Product/Service A - Product/Service B - - -

Total Income - 100.00%

Cost of SalesProduct/Service A - Product/Service B -

-

- Total Cost of Sales - 0.00%

Gross Margin - 0.00%

Total Salary and Wages - 0.00%

Fixed Business ExpensesAdvertising, promotion, marketing - Automobile (gas, R+M, Insurance) -

Bank Charges (account, credit card fees, etc.) - Business Insurance - Equipment purchases - Freight and Other - Office Supplies - Renovations/Leasehold Improvements - Rental - Premises / damage deposit - Rentals - Other (equipment, etc.) - Repairs and Maintenance - Premises/Equipme - Salaries - Management -

Salaries - Other - Telephone - Travel - Utilities (heat, light, water, etc) - Other ______________________ - Other ______________________ - Other ______________________ - Other ______________________ -

Total Fixed Business Expenses - 0.00%

Operating Income (before Other Expenses) - 0.00%[EBITDA]

Other ExpensesAmortized Start-up Expenses - Depreciation - Interest

Commercial Loan - Commercial Mortgage - Li f C di


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0

Breakeven Analysis

Breakeven Analysis Dollars PercentAnnual Sales Revenue -$ 100.00%Cost of Sales - 0.00%Gross Margin - 0.00%

Salaries and Wages - Fixed Operating Expenses - Total Fixed Business Expenses -

Breakeven Sales Calculation - 0.00%

Breakeven Sales in Dollars -$


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0Amortization Schedule

Loan Type Assumptions Jan Feb Mar Apr May Jun Jul Aug Sep Oct Nov Dec Totals

Commercial LoanPrincipal Amount -$Interest Rate 9.00%

Loan Term in Months 72.00 Monthly Payment Amou $0.00

Year OneInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Year TwoInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - -

Loan Balance - - - - - - - - - - - - Year ThreeInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Commercial MortgagePrincipal Amount -$Interest Rate 8.00%



Year TwoInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - -

Loan Balance - - - - - - - - - - - - Year ThreeInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -


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Credit Card DebtPrincipal Amount -$Interest Rate 7.00%Loan Term in Months 60.00 Monthly Payment Amou $0.00


Year Two

Interest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Year ThreeInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Vehicle LoansPrincipal Amount -$Interest Rate 6.00%Loan Term in Months 48.00 Monthly Payment Amou $0.00


Year TwoInterest - - - - - - - - - - - - -

Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - - Year Three

Interest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Other Bank DebtPrincipal Amount -$Interest Rate 5.00%



Year TwoInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -

Year ThreeInterest - - - - - - - - - - - - - Principal - - - - - - - - - - - - - Loan Balance - - - - - - - - - - - -


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0

Financial Diagnostics

This sheet performs a few tests on your numbers to see if they seem within certain reasonable ranges.Remember, no computer can tell whether your projections are truly well-constructed, only a human can do that.But these tests can at leas t look for values that are cr itically out of range.

Financial Diagnostics Value Findings

General Financing AssumptionsOwner's Cash Injection into the Business 0.0% Owner's injection might be too low in relation to the amount of money neededCash Request as percent of Total Required Funds 0.0% Cash request seems reasonable with respect to total request

Loan AssumptionsCommercial Loan Interest rate 9.0% Interest rate seems reasonableCommercial Loan Term in Months 72 Loan term seems within range for this type of loan

Commercial Mortgage Interest rate 8.0% Interest rate seems reasonableCommercial Mortgage Term in Months 240 Loan term seems within range for this type of loan

Loan Payments as a Percent of Projected Sales 0.0% Calculated loan payments as a percent of sales seem resonable

Income StatementGross Margin as a Percent of Sales 0.0% Gross margin percentage seems very lowOwner's Compensation Lower Limit Check -$ An owner's compensation amount has not been establishedOwner's Compensation Upper Limit Check 0.0% Owner's compensation seems reasonableAdvertising Expense Levels as a Percent of Sales 0.0% Advertising as a percent of sales may be too lowProfitability Levels -$ The business is showing a profitProfitability as a Percent of Sales 0.0% The projection does not seem highly unreasonable

Cash Flow StatementDesired Operating cash Flow Levels -$ The financial projection provides the desired level of cash flowLine of Credit Drawdowns -$ The business doesn't seem to require a line of creditAccounts Receivable Ratio to Sales 0.0% Accounts receivable amount as a percent of sales seems reasonable

Balance SheetDoes the Base Period Balance Sheet Balance? - The balance sheet does balanceDoes the Final Balance Sheet Balance - The balance sheet does balanceDebt to Equity Ratio 0.0% The debt to equity ratio seems reasonable

Breakeven AnalysisBreakeven Levels -$ The sales projection is less than the break-even amount

Documents

TEMPLATE Financial Projections Workbook