Garrett's Bike Shop

CONFIDENTIAL
GARRETT'S BIKE
SHOP
TOP-QUALITY GEAR, REPAIR, AND ADVICE FROM YOUR LOCAL CYCLING FANATICS
BUSINESS PLAN
Prepared January 2016
CONTACT INFORMATION
Garrett McKenzie
garrett@universitycycleworks.com
www.universitycycleworks.com
488 East 11th Avenue, Suite 220

Eugene, OR 97401, USA
(555) 555-5555
GARRETT'S BIKE SHOP - XERO
Executive Summary
Products we sell
Bicycles. We sell new bicycles, predominantly in the mountain bike style, retro-cruiser is a close second,
and sport/touring/racing road bikes a distant third. We also sell some used bikes which we take in on
trade as a service to our customers who are buying new bikes.
Accessories. We offer a wide variety of accessories. Locks, computer speedometers, fenders, cargo racks,
comfortable seats, headlights, helmets, water bottles, panniers/back packs/messenger bags, child seats
and trailers, bike storage racks, and auto roof rack systems all fall in this category.
Clothing. We rotate our clothing based on the season. For example, in Autumn, we stock jackets and GoreTex. In Winter, we offer helmet covers and liners, insulated jerseys and pants, gloves, and shoe covers. In
the Spring, we start displaying summer jerseys, and racing shorts
Parts. Parts generally refers to pieces or materials necessary to the basic functioning of the bicycle.
Generally, parts are installed during service and are an additional charge beyond the service fees.
Who We Are
University Cycle Works is an established bicycle specialty store, offering retail sales of new bicycles, parts
and accessories, clothing, and maintenance and repair service. It is located in a heavily trafficked,
university-focused area.
University Cycle Works is a subchapter S corporation, and is currently owned by Han Delbar. Hubert
Wheeler, current assistant manager of University Cycle Works, is purchasing University Cycle Works from
Delbar, acquiring existing inventory, and assuming outstanding accounts payable and dating program
debts to suppliers, location lease, customer base and information, and University Cycle Works' business
name and goodwill. The business will continue to be a subchapter S corporation. Exchange of ownership
will occur on July 1, of this year.
Wheeler has been the assistant manager of University Cycle Works for five years, with an additional seven
years of bicycle industry retail sales and service experience. He first began investigating the ownership of
a bike business two years ago, however, the local Metroburg market seemed saturated with
shops. Realizing that a more practical option would be to buy an existing shop, he approached his current
boss. The result of two years of negotiations will be the sale of University Cycle Works to Wheeler, taking
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.
effect July 1st. The goal will be a seamless transfer of ownership, with staff, bike lines, location, and
operations unchanged.
Who We Sell To
The primary market for University Cycle Works is the university student population, which normally has a
turnover/growth of approximately 25% each year. The secondary market is the university faculty and staff,
and the tertiary market is the greater Metroburg community.
Financial Summary
This financial plan was developed based upon previous years' data for the existing store, tracking trends in
revenues and expenses. A five-month track of sales, accounts receivables and payables, and inventory
from a year-end benchmark was made. The current owner, Han Delbar, has sold the business to Hubert
Wheeler for $140,000. The seller, buyer, and the accountant worked together on the plan to balance
optimism with reality. An attorney was consulted on specifics of the sale contract.
Sales for the first year of new ownership are projected above $500,000, with a gross margin of almost 65%.
Profitability is expected at the mid-way point of the fiscal year, in March.
Building Priorities
Company Overview
Company Overview
University Cycle Works is a subchapter S corporation, and is currently owned by Han Delbar. Hubert
Wheeler, current assistant manager of University Cycle Works, is purchasing University Cycle Works from
Delbar, acquiring existing inventory, and assuming outstanding accounts payable and dating program
debts to suppliers, location lease, customer base and information, and University Cycle Works' business
name and goodwill. The business will continue to be a subchapter S corporation. Exchange of ownership
will occur on July 1st.
To establish an accurate accounting of existing inventory and outstanding debts, the prior year's closing
inventory and year end financial statement as reviewed by the business' CPA were used as
benchmarks. The sales, orders placed, deliveries received, and accounts payable payments made have
been tracked each month, and a trial balance of these will be run June 15 to establish the final purchase
price for inventory on hand, and the amount of Accounts Payable assumed. The figures presented here are
conservative, realistic estimates used for planning purposes.
Management Team
The current assistant manager, Hubert Wheeler, is buying University Cycle Works, and will manage the
business. He has a B.S. degree in Economics and an M.A. in Comparative Literature. His passion however
has always been cycling. He originally worked at his local bike shop when he was in college. After several
years trying to find suitable work in his degree field, he gave up chasing the chimera of these fields and
decided to work with something substantial, and returned to his youthful enjoyment of bicycles.
He attended two of the major bicycle mechanic training programs, at New England Bicycle Academy
and the United Bicycle Institute. These courses covered mechanical service and maintenance, frame
building and repair, wheel building, and shop organization, sales, and management. He has 12 years of
progressively responsible experience in bicycle shops with the last five at University Cycle Works.
One of the other full-time employees, Valerie Pede has expressed interest in learning more about the bike
industry and she will be promoted to be the new assistant manager. Val has been with us for three years.
She graduated from State University at Metroburg with tandem B.S. degrees in Exercise Physiology and
Recreation Management. She loves to cycle, and has kept her contacts at the university active. Her
knowledge and expertise draws many women bicyclists to our store where they know they will get the
care and attention which is usually missing from traditionally male staffed shops.
The current owner, Han Delbar will be available as a resource.

Additional resources are:
Order Out of Chaos, our full-cycle bookkeeping service.
Continental Shelf Bank.
Newt Ria, a partner at Weasel, Stoat, Muskrat who advised on the sale/purchase arrangements.
Mission Statement
Company History
Products and Services

Retail Sales
1.
Bicycles. We sell new bicycles, predominantly in the mountain bike style, retro-cruiser is a close
second, and sport/touring/racing road bikes a distant third. We also sell some used bikes which we
take in on trade as a service to our customers who are buying new bikes.
2.
Accessories. We offer a wide variety of accessories. Locks, computer speedometers,

fenders, cargo racks, comfortable seats, headlights, helmets, water bottles, panniers/back
packs/messenger bags, child seats and trailers, bike storage racks, and auto roof rack systems all
fall in this category. It is not possible to carry every possible accessory, so we try to carefully
chose those which will be most useful or desired by our target markets. When we receive special
requests for a new item, we'll often order several to test the local demand, and if adequate, will add
it to our regular stock.
3.
Clothing. Clothing appeals to all cyclists, whether it is a logo emblazoned T-shirt or a piece of
waterproof rainwear. At University Cycle Works, we rotate our clothing based on the season. Just
before the autumn rains we stock jackets and Gore-Tex. Come winter we offer helmet covers and
liners, insulated jerseys and pants, gloves, and shoe covers. And when spring arrives and the first
crocus appears through the melting snow, we start displaying summer jerseys, and racing shorts.
4.
Parts. Parts generally refers to pieces or materials necessary to the basic functioning of the bicycle.
Generally, parts are installed during service [see below] and are an additional charge beyond the
service fees. Some, like cranksets, pedals, tires, derailleurs or brakes, are both integral parts and
upgrade accessories. Others, such as headsets, bottom brackets, spokes, chains, cables, and
cable housings are strictly maintenance, though some will be sold to cyclists who prefer to work on
their bikes themselves.
Service
University Cycle Works is a full-service specialized bicycle shop. Our service offering includes, but is not
limited to:
Free 30-day/100-mile tune up with every new bike sold.
Quick repairs for flat tires, broken chains, brake cables, etc.
Scheduled tune-ups, replacement of all bearing surfaces, repacking of lubricants, and adjustments
of derailleurs and brake systems.
Installation of all accessories.
Authorized warranty repairs on the bikes.
Custom wheel building.
Frameset repairs by outsourcing to Via Porco custom frame builders.
Competitors
Market Problem: No full-service bike shop focused on servicing the university market.
Setting aside the discount department stores, University Cycle Works has the following direct competitors.
One local multi-sport store at the local megamall
One statewide chain of bicycle shops which started out as Schwinn-only shops, but has had to take
on other brands and products.
One used bike store that has made a fine business reputation for itself, dealing strictly in used
bikes.
Three local, including the oldest shop in town.
One local multi-location chain, that has specialized in opening shops in small local malls in areas of
new housing development.
Several garage mechanics offering service only.
None of these competitors is within two miles of the university, and so, for the present, we have first access
to our chosen market segments. One of the local shops has chosen to target the burgeoning young road
racer segment, another is focusing on recumbents and folding travel cycles.
The two strongest competitors are the Oldest Shop in Town which carries the cache of being the most
stable, and most well known -- a Metroburg institution. The Mountain Bike Specialist targets the same
athletic, young, performance and image conscious rider that we target in the university student population.
These cyclists are particular about their bike and will go where the name brand they want is sold, or will try
every bike and then buy the one that fits best, regardless of store loyalty.

Market Needs
Our market niche has several needs which we strive to meet:
Quality bikes at several price points.
Various styles and sizes of bikes, leaning heavily toward the styles most popular with the student
population.
Range of accessories most practical in the local setting, such as locks, fenders, lights, tires, seats,
rainwear, etc.
Plenty of replacement components and service parts.
Friendly personal relationships between cyclists and shop staff.
Prompt and convenient service from on-the-spot flat tire fix, to drop in repairs, to scheduled major
maintenance, where the rider can drop their bike off, head to class or work, and be assured that
their bike will be ready for the ride home.
Market Overview
The predominant market segment for University Cycle Works is the university student population. We also
cater to the university staff, local business employees, and, along with every other bicycle shop in town, the
greater Metroburg population.
In part the local market is driven by the lack of parking. Bicycle transportation is more economical, as well
as time and space efficient in the university neighborhood. Part of the market is price constrained and
another part is hooked on the latest fad, be it frame style, number of gears, or portrayed image. As long as
new students arrive each year, our market segment growth is assured.
Key Customers
The university students are our main target market.
1.
They are mostly undergraduates, so there is a 25% annual turnover.
2.
The lack of parking in the university area and the general ease of bike mobility throughout
Metroburg motivates them to use bicycles as inexpensive transport. Athletic pursuits draw them,
and the nearby areas for use of mountain and trail bikes provides a great place to ride.
3.
There is a new enthusiasm for retro Cruiser bikes, and higher tech cruiser-style bikes with
multiple gears, good brakes, etc. among the college age population.
4.
Also, main market for racks, locks, throughout, pannier/bags, fenders, rainwear, etc.
5.
They want convenience for sales and service.
University employees are another prime market segment.

1.
Small growth and turnover, but on the whole, the group is pretty stable.
2.
Are willing to commute by bicycle to work.
3.
They want a stable, comfortable bike and a full range of accessories.
4.
When their bikes need service and maintenance, local drop off/pickup convenience is important.
5.
They have families who ride bicycles also, and will patronize a shop that gives personal service.
Greater Metroburg population.

This segment has a choice of going to any bike shop in the area, and will probably choose a shop located
closer to their home. They are not the main target market segment of University Cycle Works, and we
market to them casually, only as a collateral effect to our university-oriented efforts.
Market Trends
Trends in the bicycle industry usually last for a time. Some of them have been:
1960s - Big rush on 10 speeds.
1970s - Touring bikes became popular.
1980s and 1990s - Huge growth of mountain bikes
1990s - The rumored but exaggerated death of "road bikes" and the unfulfilled prophesy of a boom
in the tandem market.
2000s - Popularity of retro 'cruisers.'
Market Growth
The bulk of University Cycle Works' market growth is the regular matriculation of students from the State
University in Metroburg. While the overall market numbers change in small increments, usually less than
10%, the market has a turnover of 22-26% yearly. In a longer time frame the number of students and the
number of university employees grows and shrinks with economic changes, and with population
demographics.
For the next three years we foresee a steady growth in the overall university population as well as
continued growth of Metroburg as a desirable place to live.
Financial Plan
Revenue Forecast
Revenue by Month
10
11
Revenue Forecast Table

FY2014
FY2015
FY2016
New Bikes
$232,000
$250,000
$275,000
Accessories and Parts
$143,000
$172,500
$198,375
$68,000
$78,200
$89,930
$1,200
$1,380
$1,587
$36,000
$36,000
$36,000
$480,200
$538,080
$600,892
$71,500
$86,250
$99,188
$157,760
$170,000
$187,000
$23,800
$27,370
$31,476
Total Direct Cost
$253,060
$283,620
$317,664
Gross Margin
$227,140
$254,460
$283,228
47%
47%
47%
Revenue
Clothing
University Patrol Service Contract
Repair and Service
Total Revenue
Direct Cost
New Bikes
Clothing
Repair and Service
Gross Margin %
About the Revenue Forecast

Sales vary season to season and with the academic school year. Surprisingly, summer is the slowest
season because there are fewer students in town. Business picks up in August with the return of the
students and staff, and flourishes in September. Accessories and rainwear sales increase in the autumn and
early winter. Repairs and maintenance are steady. Holiday sales are brisk, though generally leaning again
to accessories, parts, rainwear, gloves, helmets, headlights, etc. Winter sales are moderate, and then pick
up in springtime as people put away their skies and look forward to local outdoor activities, longer daylight
hours, and drier weather.
We have three large sales promotions each year.
1.
Back to school in August/September. This is our biggest sale of the year. New bicycles, locks,
helmets, racks, fenders, backpacks. We always search for a special purchase of good quality, but
value priced bikes for this sale such as year end models, slow sellers, new line looks to break into
the market. These bikes will almost always sell out to students seeking great values.
12
2.
Year-end holidays. This also overlaps the beginning of Winter term. The retail market demands
some participation in this annual buying frenzy, yet, this sale produces lower revenue than our
other two events. We sell fewer bikes, and more accessories and clothing.
3.
Spring. This coincides with both the return of nice weather, and beginning of Spring term. We
feature new bicycles, and repair/maintenance/tune-up specials. It is important to us to have a good
selection on hand at this time. When people decide they want that new bike, they want it now. If we
don't have the bike then, and make the sale immediately, many riders will decide that they really
can get another season out of their old bike, and will spend their discretionary income on some
other purchase.
Additionally, we have some special buys available for June graduation.

We get some small monthly revenue from these sources:
Sale of used bicycles taken in on trade.
Repair classes taught at the University Outdoor Center, once a term.
Monthly service contract for repairs and parts with the University Security Office.
Personnel Plan
Personnel Table
FY2014
FY2015
FY2016
Valerie Pede
$32,000
$32,000
$32,000
Dee Ray
$23,400
$24,570
$25,799
Jean-Baptiste Kape
$19,800
$20,790
$21,830
$3,000
$12,000
$12,000
$78,200
$89,360
$91,629
Grocery Man
Total
About the Personnel Plan

The staff will consist of Hubert Wheeler, the new owner, Valerie Pede, and two other full-time employees
Dee Ray, and Jean-Baptiste Kape.
13
To meet the need for additional help during the year, University Cycle Works hires two to four part-time
employees from the university population. We look for people who are enthusiastic about cycling, and who
have a mechanical aptitude. Some of these folks have worked for us throughout their entire college
sojourn. Their hours vary depending on the store's needs and their class schedules.
Budget
Budget Table
FY2014
FY2015
FY2016
Salary
$78,200
$89,360
$91,629
Employee Related Expenses
$19,550
$22,340
$22,907
Insurance
$9,604
$10,762
$12,018
Leased Equipment
$1,800
$1,800
$1,800
$54,000
$54,000
$54,000
$3,600
$3,600
$3,600
$18,000
$18,000
$18,000
$184,754
$199,862
$203,954
Operating Expenses
Advertising
Rent
Utilities
Rent
Office Expense
Total Operating Expenses
14
Expenses by Month
About the Budget

Our salary totals, employee benefits and monthly expense projections are included in the Budget. A rent
deposit was made to the landlord as a security during the transfer of the business to the new owner, in
order to keep the current lease agreement. If, at the end of the first year, the business is still solvent, the
deposit will be applied to the twelfth month's rent.
Startup Costs
Our estimated starting expenses total $13,300. They include, legal and accounting costs to transfer
ownership of the business, stationery, etc., promotional materials, insurance, and the down payment
toward the purchase of the business.
15
Loans and Investments

Loans and Investments Table
FY2014
Loan
Loan at 7% interest for 60 mos.
Loan
Total Amount Received
FY2015
FY2016
$50,000
$90,000
$90,000
$50,000
Sources of Funds
The current owner, Han Delbar, has sold the business to Hubert Wheeler for $140,000. The value of the
existing company, its reputation, assumption of the business name, existing client base, etc. is recognized
as part of the purchase. It appears as a start-up expense in the following table as Down Payment. The
balance appears as a long-term liability.
Wheeler is investing some of his own money, partially a home equity loan, in the company. An additional
amount is being invested, as short-term interest free loans, by family members. This plan calls for these
loans to be repaid in the first year.
16
Cash Flow Assumptions

Cash Flow Assumptions
Cash Inflow
% of Sales on Credit
51%
Avg Collection Period (Days)
15
Cash Outflow
% of Purchases on Credit
50%
Avg Payment Delay (Days)
30
Inventory
Months to Keep on Hand
Minimum Inventory Purchase
3
$5,000
About the Cash Flow Assumptions

We have accounts payable set at 45 days. We also keep approximately one month's worth of inventory on
hand, with a minimum purchase of $1,000, on average. We had a starting inventory balance for this plan at
$17,000 from the previous owner, which carried forward with the business transfer.
We do not sell on credit.
17
Financial Statements
Profit and Loss Statement
FY2014
FY2015
FY2016
Revenue
$480,200
$538,080
$600,892
Direct Costs
$253,060
$283,620
$317,664
Gross Margin
$227,140
$254,460
$283,228
47%
47%
47%
Salary
$78,200
$89,360
$91,629
$19,550
$22,340
$22,907
Insurance
$9,604
$10,762
$12,018
Leased Equipment
$1,800
$1,800
$1,800
$54,000
$54,000
$54,000
$3,600
$3,600
$3,600
$18,000
$18,000
$18,000
$184,754
$199,862
$203,954
$42,386
$54,598
$79,274
$5,364
$6,994
$6,391
$13,814
$15,472
$15,471
$3,481
$4,819
$8,610
$460,473
$510,767
$552,090
$19,727
$27,313
$48,802
4%
5%
8%
Gross Margin %
Operating Expenses
Advertising
Rent
Utilities
Rent
Office Expense
Operating Income
Interest Incurred
Depreciation and Amortization
Income Taxes
Total Expenses
Net Profit
Net Profit / Sales
18
Gross Margin by Year
Net Profit (or Loss) by Year
About the Profit and Loss Statement

In negotiating the smooth transition in ownership, the landlord agreed to continue the current lease
unchanged. As surety, one month's rent was required as a deposit at the time of sale. This is shown in the
19
starting expenses. Further, the landlord agreed that if, after 11 months operation the new company was
solvent and current in lease payments, that the deposit could be applied to the twelfth month's rent.
The mid-summer months of July and August are slow months when a large part of the university population
is gone on summer break. The mid-winter months are traditionally loss months. The weather is the most
inclement and discretionary income is at its lowest after the holiday binges. However, we try to keep our
entire staff on board to work on our own inventory, store refurbishing, and staff training.
20
Balance Sheet
Balance Sheet
As of Period's End
Starting Balances
FY2014
FY2015
FY2016
$0
$23,963
$88,222
$128,585
$11,838
$11,850
$13,220
$17,000
$70,905
$79,416
$79,419
Total Current
Assets
$17,000
$106,706
$179,488
$221,224
Long-Term Assets
$61,500
$77,700
$77,700
$77,700
($13,814)
($29,286)
($44,757)
Cash
Accounts Receivable
Inventory
Other Current Assets
Accumulated
Depreciation
Total Long-Term
Assets
$61,500
$63,886
$48,414
$32,943
Total Assets
$78,500
$170,592
$227,902
$254,167
Accounts Payable
$27,800
$15,486
$16,901
$16,952
Income Taxes
Payable
$3,481
$4,819
$8,610
Sales Taxes Payable
$5,440
$5,000
$5,500
$16,609
$26,873
$28,817
$41,016
$53,593
$59,879
$59,153
$76,579
$47,762
Short-Term Debt
Prepaid Revenue
Total Current
Liabilities
$27,800
Long-Term Debt
Total Liabilities
$27,800
$100,169
$130,172
$107,641
Paid-in Capital
$25,000
$25,000
$25,000
$25,000
Retained Earnings
$25,700
$25,700
$45,423
$72,730
$19,723
$27,307
$48,796
Earnings
Total Owner's
Equity
$50,700
$70,423
$97,730
$146,526
Total Liabilities &

Equity
$78,500
$170,592
$227,902
$254,167
21
About the Balance Sheet

Our goal is to repay the loans from our family within the first year, and we project paying Han Delbar his
entire purchase price within five years. Other balance sheet information is shown in the table.
Cash Flow Statement

Cash Flow Statement
FY2014
FY2015
FY2016
Net Profit
$19,727
$27,313
$48,802
$13,814
$15,472
$15,471
Change in Accounts Receivable
($11,840)
($11)
($1,368)
Change in Inventory
($53,905)
($8,511)
($3)
Change in Accounts Payable
($12,319)
$1,411
$51
Change in Income Tax Payable
$3,481
$1,338
$3,791
Change in Sales Tax Payable
$5,440
($440)
$500
($35,602)
$36,572
$67,244
Net Cash Flow from Operations
Change in Prepaid Revenue

Investing & Financing
Assets Purchased or Sold
($16,200)
Investments Received
Change in Long-Term Debt
$59,153
$17,426
($28,817)
Change in Short-Term Debt
$16,609
$10,264
$1,944
$59,562
$27,690
($26,873)
$3
$23,960
$88,214
Net Change in Cash
$23,960
$64,262
$40,371
Cash at End of Period
$23,963
$88,222
$128,585
Dividends & Distributions

Net Cash Flow from Investing &
Financing
Cash at Beginning of Period
22
Cash Flow by Month
Cash Flow by Year
About the Cash Flow Statement

The cash flow reflects the seasonality of bicycle sales and the varying payment programs. At times, the
business is inventory heavy, stocking up for the beginning of school rush, or specific sales. At other times,
23
there is negative cash flow as long-term accounts payable, net 90, net 60 payments coincide with regular
net 30 invoices.
Starting Balances
Assets
Cash
Accounts Receivable
Inventory
$17,000
Long-Term Assets
$61,500
Accumulated Depreciation
Liabilities
Accounts Payable
$27,800
Corporate Taxes Payable

Sales Taxes Payable
Short-Term Debt
Long-Term Debt
Capital
Paid-In Capital
$25,000
Retained Earnings
$25,700
24
Appendix
Revenue Forecast
Revenue Forecast Table (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
New Bikes
$17,000
$14,000
$19,000
$18,000
$18,000
$20,000
$18,000
$19,000
$21,000
$22,000
$23,000
$23,000
Accessories
and Parts
$11,000
$12,500
$14,000
$11,000
$10,000
$15,000
$9,500
$8,000
$13,000
$15,000
$11,000
$13,000
$3,500
$3,500
$4,500
$6,500
$10,500
$7,500
$4,500
$3,500
$4,500
$6,500
$7,500
$5,500
$100
$100
$100
$100
$100
$100
$100
$100
$100
$100
$100
$100
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$34,600
$33,100
$40,600
$38,600
$41,600
$45,600
$35,100
$33,600
$41,600
$46,600
$44,600
$44,600
$5,500
$6,250
$7,000
$5,500
$5,000
$7,500
$4,750
$4,000
$6,500
$7,500
$5,500
$6,500
$11,560
$9,520
$12,920
$12,240
$12,240
$13,600
$12,240
$12,920
$14,280
$14,960
$15,640
$15,640
$1,225
$1,225
$1,575
$2,275
$3,675
$2,625
$1,575
$1,225
$1,575
$2,275
$2,625
$1,925
$18,285
$16,995
$21,495
$20,015
$20,915
$23,725
$18,565
$18,145
$22,355
$24,735
$23,765
$24,065
$16,315
$16,105
$19,105
$18,585
$20,685
$21,875
$16,535
$15,455
$19,245
$21,865
$20,835
$20,535
47%
49%
47%
48%
50%
48%
47%
46%
46%
47%
47%
46%
Revenue
Clothing
University
Patrol Service
Contract
Repair and
Service
Total
Revenue
Direct Cost
Accessories
and Parts
New Bikes
Clothing
University
Patrol Service
Contract
Repair and
Service
Total Direct
Cost
Gross Margin
Gross
Margin %
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.
25
FY2015
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
New Bikes
$20,833
$20,833
$20,833
$20,833
$20,833
$20,833
$20,833
$20,833
$20,834
$20,834
$20,834
$20,834
Accessories
and Parts
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$14,375
$6,516
$6,516
$6,516
$6,516
$6,517
$6,517
$6,517
$6,517
$6,517
$6,517
$6,517
$6,517
$115
$115
$115
$115
$115
$115
$115
$115
$115
$115
$115
$115
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$44,839
$44,839
$44,839
$44,839
$44,840
$44,840
$44,840
$44,840
$44,841
$44,841
$44,841
$44,841
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$7,188
$14,166
$14,166
$14,166
$14,166
$14,166
$14,166
$14,166
$14,166
$14,167
$14,167
$14,167
$14,167
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$2,281
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,636
$23,636
$23,636
$23,636
$21,204
$21,204
$21,204
$21,204
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
Revenue
Clothing
University
Patrol Service
Contract
Repair and
Service
Total
Revenue
Direct Cost
Accessories
and Parts
New Bikes
Clothing
University
Patrol Service
Contract
Repair and
Service
Total Direct
Cost
Gross Margin
Gross
Margin %
26
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
New Bikes
$22,916
$22,916
$22,916
$22,916
$22,917
$22,917
$22,917
$22,917
$22,917
$22,917
$22,917
$22,917
Accessories
and Parts
$16,531
$16,531
$16,531
$16,531
$16,531
$16,531
$16,531
$16,531
$16,531
$16,532
$16,532
$16,532
$7,494
$7,494
$7,494
$7,494
$7,494
$7,494
$7,494
$7,494
$7,494
$7,494
$7,495
$7,495
$132
$132
$132
$132
$132
$132
$132
$132
$132
$133
$133
$133
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$3,000
$50,073
$50,073
$50,073
$50,073
$50,074
$50,074
$50,074
$50,074
$50,074
$50,076
$50,077
$50,077
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$8,266
$15,583
$15,583
$15,583
$15,583
$15,584
$15,584
$15,584
$15,584
$15,584
$15,584
$15,584
$15,584
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$2,623
$26,472
$26,472
$26,472
$26,472
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,603
$23,604
$23,604
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
Revenue
Clothing
University
Patrol Service
Contract
Repair and
Service
Total
Revenue
Direct Cost
Accessories
and Parts
New Bikes
Clothing
University
Patrol Service
Contract
Repair and
Service
Total Direct
Cost
Gross Margin
Gross
Margin %
27
FY2014
FY2015
FY2016
New Bikes
$232,000
$250,000
$275,000
$143,000
$172,500
$198,375
$68,000
$78,200
$89,930
$1,200
$1,380
$1,587
$36,000
$36,000
$36,000
$480,200
$538,080
$600,892
Revenue
Clothing
Repair and Service
Total Revenue
Direct Cost
New Bikes
Clothing
$71,500
$86,250
$99,188
$157,760
$170,000
$187,000
$23,800
$27,370
$31,476
$253,060
$283,620
$317,664
$227,140
$254,460
$283,228
47%
47%
47%

Repair and Service
Total Direct Cost

Gross Margin
Gross Margin %
28
Personnel Plan
Personnel Table (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
Valerie Pede
$2,666
$2,666
$2,666
$2,666
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
Dee Ray
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
$1,950
Jean-Baptiste
Kape
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,650
$1,000
$1,000
$1,000
Total
$6,266
$6,266
$6,266
$6,266
$6,267
$6,267
$6,267
$6,267
$6,267
$7,267
$7,267
$7,267
FY2015
Grocery Man
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Valerie Pede
$2,666
$2,666
$2,666
$2,666
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
Dee Ray
$2,047
$2,047
$2,047
$2,047
$2,047
$2,047
$2,048
$2,048
$2,048
$2,048
$2,048
$2,048
Jean-Baptiste
Kape
$1,732
$1,732
$1,732
$1,732
$1,732
$1,732
$1,733
$1,733
$1,733
$1,733
$1,733
$1,733
Grocery Man
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$7,445
$7,445
$7,445
$7,445
$7,446
$7,446
$7,448
$7,448
$7,448
$7,448
$7,448
$7,448
Total
29
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
Valerie Pede
$2,666
$2,666
$2,666
$2,666
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
$2,667
Dee Ray
$2,149
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
$2,150
Jean-Baptiste
Kape
$1,819
$1,819
$1,819
$1,819
$1,819
$1,819
$1,819
$1,819
$1,819
$1,819
$1,820
$1,820
Grocery Man
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$1,000
$7,634
$7,635
$7,635
$7,635
$7,636
$7,636
$7,636
$7,636
$7,636
$7,636
$7,637
$7,637
Total
FY2014
FY2015
FY2016
Valerie Pede
$32,000
$32,000
$32,000
Dee Ray
$23,400
$24,570
$25,799
Jean-Baptiste Kape
$19,800
$20,790
$21,830
$3,000
$12,000
$12,000
$78,200
$89,360
$91,629
Grocery Man
Total
30
Budget
Budget Table (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
Salary
$6,266
$6,266
$6,266
$6,266
$6,267
$6,267
$6,267
$6,267
$6,267
$7,267
$7,267
$7,267
Employee
Related
Expenses
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,817
$1,817
$1,817
Insurance
$692
$662
$812
$772
$832
$912
$702
$672
$832
$932
$892
$892
Leased
Equipment
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
Operating
Expenses
Advertising
Rent
Utilities
Rent
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$14,975
$14,945
$15,095
$15,055
$15,116
$15,196
$14,986
$14,956
$15,116
$16,466
$16,426
$16,426
Office
Expense
Total
Operating
Expenses
31
FY2015
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Salary
$7,445
$7,445
$7,445
$7,445
$7,446
$7,446
$7,448
$7,448
$7,448
$7,448
$7,448
$7,448
Employee
Related
Expenses
$1,861
$1,861
$1,861
$1,861
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
Insurance
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
Leased
Equipment
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$16,653
$16,653
$16,653
$16,653
$16,655
$16,655
$16,657
$16,657
$16,657
$16,657
$16,657
$16,657
Operating
Expenses
Advertising
Rent
Utilities
Rent
Office
Expense
Total
Operating
Expenses
32
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
Salary
$7,634
$7,635
$7,635
$7,635
$7,636
$7,636
$7,636
$7,636
$7,636
$7,636
$7,637
$7,637
Employee
Related
Expenses
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,002
$1,002
$1,002
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$16,994
$16,995
$16,995
$16,995
$16,996
$16,996
$16,996
$16,996
$16,996
$16,997
$16,998
$16,998
Operating
Expenses
Advertising
Insurance
Leased
Equipment
Rent
Utilities
Rent
Office
Expense
Total
Operating
Expenses
33
FY2014
FY2015
FY2016
Salary
$78,200
$89,360
$91,629
$19,550
$22,340
$22,907
Insurance
$9,604
$10,762
$12,018
Leased Equipment
$1,800
$1,800
$1,800
$54,000
$54,000
$54,000
$3,600
$3,600
$3,600
$18,000
$18,000
$18,000
$184,754
$199,862
$203,954
Operating Expenses
Advertising
Rent
Utilities
Rent
Office Expense
Loans and Investments

Loans and Investments Table (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
Loan
Loan at 7%
interest for 60
mos.
Loan
Loan at 7%
interest for 60
mos.
Total
Amount
Received
$90,000
$90,000
34
FY2015
Oct '14
Nov '14
Dec '14
Loan
Loan at 7%
interest for 60
mos.
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
$50,000
Loan
Loan at 7%
interest for 60
mos.
Total
Amount
Received
FY2016
$50,000
Oct '15
Nov '15
Dec '15
Jan '16
Loan
Loan at 7%
interest for 60
mos.
Loan
Loan at 7%
interest for 60
mos.
Total
Amount
Received
FY2014
Loan
Loan
Total Amount Received
FY2015
FY2016
$50,000
$90,000
$90,000
$50,000
35

Profit and Loss Statement (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
Revenue
$34,600
$33,100
$40,600
$38,600
$41,600
$45,600
$35,100
$33,600
$41,600
$46,600
$44,600
$44,600
Direct Costs
$18,285
$16,995
$21,495
$20,015
$20,915
$23,725
$18,565
$18,145
$22,355
$24,735
$23,765
$24,065
$16,315
$16,105
$19,105
$18,585
$20,685
$21,875
$16,535
$15,455
$19,245
$21,865
$20,835
$20,535
47%
49%
47%
48%
50%
48%
47%
46%
46%
47%
47%
46%
Salary
$6,266
$6,266
$6,266
$6,266
$6,267
$6,267
$6,267
$6,267
$6,267
$7,267
$7,267
$7,267
Employee
Related
Expenses
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,567
$1,817
$1,817
$1,817
Insurance
$692
$662
$812
$772
$832
$912
$702
$672
$832
$932
$892
$892
Leased
Equipment
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
Total
Operating
Expenses
$14,975
$14,945
$15,095
$15,055
$15,116
$15,196
$14,986
$14,956
$15,116
$16,466
$16,426
$16,426
Operating
Income
$1,340
$1,160
$4,010
$3,530
$5,569
$6,679
$1,549
$499
$4,129
$5,399
$4,409
$4,109
$525
$518
$510
$503
$495
$488
$480
$473
$465
$457
$450
Gross Margin
Gross
Margin %
Operating
Expenses
Advertising
Rent
Utilities
Rent
Office
Expense
Interest Incurred
36
Depreciation
and
Amortization
$1,025
$1,025
$1,025
$1,025
$1,025
$1,025
$1,275
$1,275
$1,275
$1,275
$1,275
$1,289
$47
($47)
$359
$299
$606
$774
($32)
($188)
$357
$549
$401
$356
Total
Expenses
$34,332
$33,443
$38,492
$36,904
$38,165
$41,215
$35,282
$34,668
$39,576
$43,490
$42,324
$42,586
Net Profit
$268
($343)
$2,108
$1,696
$3,435
$4,385
($182)
($1,068)
$2,024
$3,110
$2,276
$2,014
1%
(1%)
5%
4%
8%
10%
(1%)
(3%)
5%
7%
5%
5%
Income Taxes
Net Profit /
Sales
37
FY2015
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Revenue
$44,839
$44,839
$44,839
$44,839
$44,840
$44,840
$44,840
$44,840
$44,841
$44,841
$44,841
$44,841
Direct Costs
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,635
$23,636
$23,636
$23,636
$23,636
$21,204
$21,204
$21,204
$21,204
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
$21,205
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
Salary
$7,445
$7,445
$7,445
$7,445
$7,446
$7,446
$7,448
$7,448
$7,448
$7,448
$7,448
$7,448
Employee
Related
Expenses
$1,861
$1,861
$1,861
$1,861
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
$1,862
Insurance
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
$897
Leased
Equipment
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
Total
Operating
Expenses
$16,653
$16,653
$16,653
$16,653
$16,655
$16,655
$16,657
$16,657
$16,657
$16,657
$16,657
$16,657
Operating
Income
$4,551
$4,551
$4,551
$4,551
$4,550
$4,550
$4,548
$4,548
$4,548
$4,548
$4,548
$4,548
$442
$434
$426
$418
$702
$690
$678
$665
$653
$641
$629
$616
$1,290
$1,289
$1,289
$1,289
$1,290
$1,289
$1,289
$1,290
$1,289
$1,289
$1,289
$1,290
$422
$425
$425
$427
$383
$386
$387
$389
$391
$393
$394
$397
Total
Expenses
$42,442
$42,436
$42,428
$42,422
$42,665
$42,655
$42,646
$42,636
$42,626
$42,616
$42,605
$42,596
Net Profit
$2,397
$2,403
$2,411
$2,417
$2,175
$2,185
$2,194
$2,204
$2,215
$2,225
$2,236
$2,245
Gross Margin
Gross
Margin %
Operating
Expenses
Advertising
Rent
Utilities
Rent
Office
Expense
Interest Incurred
Depreciation
and
Amortization
Income Taxes
38
Net Profit /
Sales
5%
5%
5%
5%
5%
5%
5%
5%
5%
5%
5%
5%
39
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
Revenue
$50,073
$50,073
$50,073
$50,073
$50,074
$50,074
$50,074
$50,074
$50,074
$50,076
$50,077
$50,077
Direct Costs
$26,472
$26,472
$26,472
$26,472
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$26,473
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,601
$23,603
$23,604
$23,604
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
47%
Salary
$7,634
$7,635
$7,635
$7,635
$7,636
$7,636
$7,636
$7,636
$7,636
$7,636
$7,637
$7,637
Employee
Related
Expenses
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,909
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,001
$1,002
$1,002
$1,002
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$150
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$4,500
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$300
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
$1,500
Total
Operating
Expenses
$16,994
$16,995
$16,995
$16,995
$16,996
$16,996
$16,996
$16,996
$16,996
$16,997
$16,998
$16,998
Operating
Income
$6,607
$6,606
$6,606
$6,606
$6,605
$6,605
$6,605
$6,605
$6,605
$6,606
$6,606
$6,606
$603
$591
$578
$566
$552
$540
$526
$513
$501
$487
$474
$460
$1,289
$1,289
$1,290
$1,289
$1,289
$1,289
$1,290
$1,289
$1,289
$1,290
$1,289
$1,289
$707
$709
$710
$713
$715
$716
$718
$721
$722
$724
$727
$728
Total
Expenses
$46,065
$46,056
$46,045
$46,035
$46,025
$46,014
$46,003
$45,992
$45,981
$45,971
$45,961
$45,948
Net Profit
$4,008
$4,017
$4,028
$4,038
$4,049
$4,060
$4,071
$4,082
$4,093
$4,105
$4,116
$4,129
Gross Margin
Gross
Margin %
Operating
Expenses
Advertising
Insurance
Leased
Equipment
Rent
Utilities
Rent
Office
Expense
Interest Incurred
Depreciation
and
Amortization
Income Taxes
40
Net Profit /
Sales
8%
8%
8%
8%
8%
8%
8%
8%
8%
8%
8%
8%
41
FY2014
FY2015
FY2016
Revenue
$480,200
$538,080
$600,892
Direct Costs
$253,060
$283,620
$317,664
$227,140
$254,460
$283,228
47%
47%
47%
Salary
$78,200
$89,360
$91,629
$19,550
$22,340
$22,907
Insurance
$9,604
$10,762
$12,018
Leased Equipment
$1,800
$1,800
$1,800
$54,000
$54,000
$54,000
Gross Margin
Gross Margin %
Operating Expenses
Advertising
Rent
Utilities
Rent
$3,600
$3,600
$3,600
$18,000
$18,000
$18,000
$184,754
$199,862
$203,954
$42,386
$54,598
$79,274
$5,364
$6,994
$6,391
$13,814
$15,472
$15,471
$3,481
$4,819
$8,610
$460,473
$510,767
$552,090
$19,727
$27,313
$48,802
4%
5%
8%
Office Expense

Operating Income
Interest Incurred
Income Taxes
Total Expenses
Net Profit
Net Profit / Sales
42
Balance Sheet
Balance Sheet (With Monthly Detail)
As of
Period's
End
Cash
Starting
Balances
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
$0
$47,691
$25,261
$26,245
$24,814
$31,866
$40,817
$20,177
$14,657
$15,124
$15,501
$20,567
$23,963
$9,170
$8,726
$10,740
$10,209
$10,974
$12,035
$9,316
$8,953
$11,033
$12,328
$11,838
$11,838
$17,000
$58,505
$62,425
$64,655
$63,205
$60,435
$59,065
$65,235
$70,855
$72,565
$71,465
$71,335
$70,905
$17,000
$115,366
$96,412
$101,640
$98,228
$103,275
$111,917
$94,728
$94,465
$98,722
$99,294
$103,740
$106,706
$61,500
$61,500
$61,500
$61,500
$61,500
$61,500
$61,500
$76,500
$76,500
$76,500
$76,500
$76,500
$77,700
($1,025)
($2,050)
($3,075)
($4,100)
($5,125)
($6,150)
($7,425)
($8,700)
($9,975)
($11,250)
($12,525)
($13,814)
Accounts
Receivable
Inventory
Other Current
Assets
Total
Current
Assets
Long-Term
Assets
Accumulated
Depreciation
Total LongTerm
Assets
$61,500
$60,475
$59,450
$58,425
$57,400
$56,375
$55,350
$69,075
$67,800
$66,525
$65,250
$63,975
$63,886
Total
Assets
$78,500
$175,841
$155,862
$160,065
$155,628
$159,650
$167,267
$163,803
$162,265
$165,247
$164,544
$167,715
$170,592
Accounts
Payable
$27,800
$33,466
$14,014
$15,494
$12,894
$12,714
$14,859
$15,943
$15,443
$15,673
$15,508
$15,487
$15,486
$47
$0
$359
$658
$1,264
$2,038
$2,006
$1,818
$2,175
$2,724
$3,125
$3,481
Sales Taxes
Payable
$1,360
$2,480
$4,000
$1,440
$2,880
$4,480
$1,440
$2,960
$4,640
$1,760
$3,600
$5,440
Short-Term
Debt
$15,578
$15,669
$15,761
$15,853
$15,946
$16,039
$16,133
$16,227
$16,322
$16,417
$16,512
$16,609
Income Taxes
Payable
Prepaid
Revenue
43
Total
Current
Liabilities
$27,800
$50,451
$32,163
$35,614
$30,845
$32,804
$37,416
$35,522
$36,448
$38,810
$36,409
$38,724
$41,016
$74,422
$73,074
$71,718
$70,354
$68,982
$67,602
$66,214
$64,818
$63,414
$62,002
$60,582
$59,153
$27,800
$124,873
$105,237
$107,332
$101,199
$101,786
$105,018
$101,736
$101,266
$102,224
$98,411
$99,306
$100,169
Paid-in Capital
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
Retained
Earnings
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$25,700
$268
($75)
$2,033
$3,729
$7,164
$11,549
$11,367
$10,299
$12,323
$15,433
$17,709
$19,723
Long-Term
Debt
Total
Liabilities
Earnings
Total
Owner's
Equity
$50,700
$50,968
$50,625
$52,733
$54,429
$57,864
$62,249
$62,067
$60,999
$63,023
$66,133
$68,409
$70,423
Total
Liabilities &
Equity
$78,500
$175,841
$155,862
$160,065
$155,628
$159,650
$167,267
$163,803
$162,265
$165,247
$164,544
$167,715
$170,592
44
FY2015
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Cash
$22,943
$27,377
$28,331
$77,766
$81,209
$84,653
$83,095
$86,537
$89,981
$87,007
$87,614
$88,222
Accounts
Receivable
$11,855
$11,855
$11,855
$11,855
$11,855
$11,855
$11,854
$11,854
$11,853
$11,852
$11,851
$11,850
Inventory
$70,905
$70,905
$70,905
$70,905
$70,905
$70,906
$70,907
$70,908
$70,908
$73,744
$76,580
$79,416
$105,703
$110,137
$111,091
$160,526
$163,969
$167,414
$165,856
$169,299
$172,742
$172,603
$176,045
$179,488
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
Accumulated
Depreciation
($15,104)
($16,393)
($17,682)
($18,971)
($20,261)
($21,550)
($22,839)
($24,129)
($25,418)
($26,707)
($27,996)
($29,286)
Total LongTerm Assets
$62,596
$61,307
$60,018
$58,729
$57,439
$56,150
$54,861
$53,571
$52,282
$50,993
$49,704
$48,414
Total Assets
$168,299
$171,444
$171,109
$219,255
$221,408
$223,564
$220,717
$222,870
$225,024
$223,596
$225,749
$227,902
$15,487
$15,486
$15,485
$15,484
$15,483
$15,483
$15,483
$15,483
$15,483
$16,901
$16,901
$16,901
Income Taxes
Payable
$3,903
$4,328
$1,272
$1,699
$2,082
$2,468
$2,855
$3,244
$3,635
$4,028
$4,422
$4,819
Sales Taxes
Payable
$1,667
$3,333
$5,000
$1,667
$3,333
$5,000
$1,666
$3,333
$5,000
$1,667
$3,333
$5,000
Short-Term
Debt
$16,706
$16,803
$16,901
$25,652
$25,802
$25,952
$26,104
$26,256
$26,408
$26,562
$26,717
$26,873
$37,763
$39,950
$38,658
$44,502
$46,700
$48,903
$46,108
$48,316
$50,526
$49,158
$51,373
$53,593
$57,716
$56,271
$54,817
$94,702
$92,482
$90,250
$88,004
$85,745
$83,474
$81,189
$78,891
$76,579
$95,479
$96,221
$93,475
$139,204
$139,182
$139,153
$134,112
$134,061
$134,000
$130,347
$130,264
$130,172
Paid-in Capital
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
Retained
Earnings
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
$45,423
Other Current
Assets
Total
Current
Assets
Long-Term
Assets
Accounts
Payable
Prepaid
Revenue
Total
Current
Liabilities
Long-Term Debt
Total
Liabilities
45
Earnings
Total
Owner's
Equity
Total
Liabilities &
Equity
$2,397
$4,800
$7,211
$9,628
$11,803
$13,988
$16,182
$18,386
$20,601
$22,826
$25,062
$27,307
$72,820
$75,223
$77,634
$80,051
$82,226
$84,411
$86,605
$88,809
$91,024
$93,249
$95,485
$97,730
$168,299
$171,444
$171,109
$219,255
$221,408
$223,564
$220,717
$222,870
$225,024
$223,596
$225,749
$227,902
46
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
Cash
$87,566
$93,233
$94,081
$94,247
$99,913
$105,581
$105,748
$111,416
$117,083
$117,251
$122,918
$128,585
Accounts
Receivable
$13,226
$13,226
$13,225
$13,225
$13,225
$13,224
$13,223
$13,222
$13,221
$13,221
$13,221
$13,220
Inventory
$79,416
$79,417
$79,418
$79,419
$79,419
$79,419
$79,419
$79,419
$79,419
$79,419
$79,419
$79,419
$180,208
$185,876
$186,724
$186,891
$192,557
$198,224
$198,390
$204,057
$209,723
$209,891
$215,558
$221,224
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
$77,700
Accumulated
Depreciation
($30,575)
($31,864)
($33,154)
($34,443)
($35,732)
($37,021)
($38,311)
($39,600)
($40,889)
($42,179)
($43,468)
($44,757)
Total LongTerm Assets
$47,125
$45,836
$44,546
$43,257
$41,968
$40,679
$39,389
$38,100
$36,811
$35,521
$34,232
$32,943
Total Assets
$227,333
$231,712
$231,270
$230,148
$234,525
$238,903
$237,779
$242,157
$246,534
$245,412
$249,790
$254,167
$16,953
$16,953
$16,953
$16,953
$16,953
$16,953
$16,953
$16,953
$16,953
$16,954
$16,953
$16,952
Income Taxes
Payable
$5,526
$6,235
$2,126
$2,839
$3,554
$4,270
$4,988
$5,709
$6,431
$7,155
$7,882
$8,610
Sales Taxes
Payable
$1,833
$3,667
$5,500
$1,833
$3,666
$5,500
$1,833
$3,667
$5,500
$1,833
$3,667
$5,500
Short-Term
Debt
$27,029
$27,187
$27,346
$27,506
$27,666
$27,828
$27,990
$28,153
$28,318
$28,484
$28,650
$28,817
$51,341
$54,042
$51,925
$49,131
$51,839
$54,551
$51,764
$54,482
$57,202
$54,426
$57,152
$59,879
$74,254
$71,915
$69,562
$67,196
$64,816
$62,422
$60,014
$57,592
$55,156
$52,705
$50,241
$47,762
$125,595
$125,957
$121,487
$116,327
$116,655
$116,973
$111,778
$112,074
$112,358
$107,131
$107,393
$107,641
Paid-in Capital
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
$25,000
Retained
Earnings
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
$72,730
Other Current
Assets
Total
Current
Assets
Long-Term
Assets
Accounts
Payable
Prepaid
Revenue
Total
Current
Liabilities
Long-Term Debt
Total
Liabilities
47
Earnings
$4,008
$8,025
$12,053
$16,091
$20,140
$24,200
$28,271
$32,353
$36,446
$40,551
$44,667
$48,796
Total
Owner's
Equity
$101,738
$105,755
$109,783
$113,821
$117,870
$121,930
$126,001
$130,083
$134,176
$138,281
$142,397
$146,526
Total
Liabilities &
Equity
$227,333
$231,712
$231,270
$230,148
$234,525
$238,903
$237,779
$242,157
$246,534
$245,412
$249,790
$254,167
48
As of Period's End
Cash
Starting Balances
FY2014
FY2015
FY2016
$0
$23,963
$88,222
$128,585
Accounts Receivable
Inventory
$11,838
$11,850
$13,220
$17,000
$70,905
$79,416
$79,419
$17,000
$106,706
$179,488
$221,224
$61,500
$77,700
$77,700
$77,700
Other Current Assets
Total Current Assets

Long-Term Assets
Accumulated Depreciation
($13,814)
($29,286)
($44,757)
Total Long-Term Assets
$61,500
$63,886
$48,414
$32,943
Total Assets
$78,500
$170,592
$227,902
$254,167
$27,800
Accounts Payable
$15,486
$16,901
$16,952
Income Taxes Payable
$3,481
$4,819
$8,610
Sales Taxes Payable
$5,440
$5,000
$5,500
$16,609
$26,873
$28,817
$41,016
$53,593
$59,879
$59,153
$76,579
$47,762
$27,800
$100,169
$130,172
$107,641
Paid-in Capital
$25,000
$25,000
$25,000
$25,000
Retained Earnings
$25,700
$25,700
$45,423
$72,730
$19,723
$27,307
$48,796
Short-Term Debt
Prepaid Revenue
Total Current Liabilities
$27,800
Long-Term Debt
Total Liabilities
Earnings
Total Owner's Equity
$50,700
$70,423
$97,730
$146,526
Total Liabilities & Equity
$78,500
$170,592
$227,902
$254,167
49
Cash Flow Statement

Cash Flow Statement (With Monthly Detail)
FY2014
Oct '13
Nov '13
Dec '13
Jan '14
Feb '14
Mar '14
Apr '14
May '14
Jun '14
Jul '14
Aug '14
Sep '14
$268
($343)
$2,108
$1,696
$3,435
$4,385
($182)
($1,068)
$2,024
$3,110
$2,276
$2,014
$1,025
$1,025
$1,025
$1,025
$1,025
$1,025
$1,275
$1,275
$1,275
$1,275
$1,275
$1,289
Change in
Accounts
Receivable
($9,170)
$444
($2,014)
$531
($765)
($1,061)
$2,719
$363
($2,080)
($1,295)
$490
$0
Change in
Inventory
($41,505)
($3,920)
($2,230)
$1,450
$2,770
$1,370
($6,170)
($5,620)
($1,710)
$1,100
$130
$430
Change in
Accounts
Payable
$5,666
($19,452)
$1,480
($2,600)
($180)
$2,145
$1,084
($500)
$230
($165)
($21)
($1)
$47
($47)
$359
$299
$606
$774
($32)
($188)
$357
$549
$401
$356
$1,360
$1,120
$1,520
($2,560)
$1,440
$1,600
($3,040)
$1,520
$1,680
($2,880)
$1,840
$1,840
($42,309)
($21,173)
$2,248
($159)
$8,331
$10,238
($4,346)
($4,218)
$1,776
$1,694
$6,391
$5,928
Net Cash
Flow from
Operations
Net Profit
Depreciation
and
Amortization
Change in
Income Tax
Payable
Change in
Sales Tax
Payable
Change in
Prepaid
Revenue
Net Cash
Flow from
Operations
Investing &
Financing
Assets
Purchased or
Sold
($15,000)
($1,200)
Investments
Received
50
Change in
Long-Term
Debt
$74,422
($1,348)
($1,356)
($1,364)
($1,372)
($1,380)
($1,388)
($1,396)
($1,404)
($1,412)
($1,420)
($1,429)
Change in
Short-Term
Debt
$15,578
$91
$92
$92
$93
$93
$94
$94
$95
$95
$95
$97
$90,000
($1,257)
($1,264)
($1,272)
($1,279)
($1,287)
($16,294)
($1,302)
($1,309)
($1,317)
($1,325)
($2,532)
$0
$47,691
$25,261
$26,245
$24,814
$31,866
$40,817
$20,177
$14,657
$15,124
$15,501
$20,567
$47,691
($22,430)
$984
($1,431)
$7,052
$8,951
($20,640)
($5,520)
$467
$377
$5,066
$3,396
$47,691
$25,261
$26,245
$24,814
$31,866
$40,817
$20,177
$14,657
$15,124
$15,501
$20,567
$23,963
Dividends &
Distributions
Net Cash
Flow from
Investing &
Financing
Cash at
Beginning of
Period
Net Change in
Cash
Cash at End
of Period
51
FY2015
Oct '14
Nov '14
Dec '14
Jan '15
Feb '15
Mar '15
Apr '15
May '15
Jun '15
Jul '15
Aug '15
Sep '15
Net Profit
$2,397
$2,403
$2,411
$2,417
$2,175
$2,185
$2,194
$2,204
$2,215
$2,225
$2,236
$2,245
Depreciation
and
Amortization
$1,290
$1,289
$1,289
$1,289
$1,290
$1,289
$1,289
$1,290
$1,289
$1,289
$1,289
$1,290
($17)
$0
$0
$0
$0
$0
$1
$0
$1
$1
$1
$1
Change in
Inventory
$0
$0
$0
$0
$0
($1)
($1)
($1)
$0
($2,836)
($2,836)
($2,836)
Change in
Accounts
Payable
$1
($1)
($1)
($1)
($1)
$0
$0
$0
$0
$1,418
$0
$0
$422
$425
($3,056)
$427
$383
$386
$387
$389
$391
$393
$394
$397
($3,773)
$1,666
$1,667
($3,333)
$1,666
$1,667
($3,334)
$1,667
$1,667
($3,333)
$1,666
$1,667
$320
$5,782
$2,310
$799
$5,513
$5,526
$536
$5,549
$5,563
($843)
$2,750
$2,764
Change in
Long-Term
Debt
($1,437)
($1,445)
($1,454)
$39,885
($2,220)
($2,232)
($2,246)
($2,259)
($2,271)
($2,285)
($2,298)
($2,312)
Change in
Short-Term
Debt
$97
$97
$98
$8,751
$150
$150
$152
$152
$152
$154
$155
$156
Net Cash
Flow from
Operations
Change in
Accounts
Receivable
Change in
Income Tax
Payable
Change in
Sales Tax
Payable
Change in
Prepaid
Revenue
Net Cash
Flow from
Operations
Investing &
Financing
Assets
Purchased or
Sold
Investments
Received
Dividends &
Distributions
52
Net Cash
Flow from
Investing &
Financing
($1,340)
($1,348)
($1,356)
$48,636
($2,070)
($2,082)
($2,094)
($2,107)
($2,119)
($2,131)
($2,143)
($2,156)
Cash at
Beginning of
Period
$23,963
$22,943
$27,377
$28,331
$77,766
$81,209
$84,653
$83,095
$86,537
$89,981
$87,007
$87,614
Net Change in
Cash
($1,020)
$4,434
$954
$49,435
$3,443
$3,444
($1,558)
$3,442
$3,444
($2,974)
$607
$608
Cash at End
of Period
$22,943
$27,377
$28,331
$77,766
$81,209
$84,653
$83,095
$86,537
$89,981
$87,007
$87,614
$88,222
53
FY2016
Oct '15
Nov '15
Dec '15
Jan '16
Feb '16
Mar '16
Apr '16
May '16
Jun '16
Jul '16
Aug '16
Sep '16
Net Profit
$4,008
$4,017
$4,028
$4,038
$4,049
$4,060
$4,071
$4,082
$4,093
$4,105
$4,116
$4,129
Depreciation
and
Amortization
$1,289
$1,289
$1,290
$1,289
$1,289
$1,289
$1,290
$1,289
$1,289
$1,290
$1,289
$1,289
($1,376)
$0
$1
$0
$0
$1
$1
$1
$1
$0
$0
$1
Change in
Inventory
$0
($1)
($1)
($1)
$0
$0
$0
$0
$0
$0
$0
$0
Change in
Accounts
Payable
$52
$0
$0
$0
$0
$0
$0
$0
$0
$1
($1)
($1)
$707
$709
($4,109)
$713
$715
$716
$718
$721
$722
$724
$727
$728
($3,167)
$1,834
$1,833
($3,667)
$1,833
$1,834
($3,667)
$1,834
$1,833
($3,667)
$1,834
$1,833
$1,513
$7,848
$3,042
$2,372
$7,886
$7,900
$2,413
$7,927
$7,938
$2,453
$7,965
$7,979
Change in
Long-Term
Debt
($2,325)
($2,339)
($2,353)
($2,366)
($2,380)
($2,394)
($2,408)
($2,422)
($2,436)
($2,451)
($2,464)
($2,479)
Change in
Short-Term
Debt
$156
$158
$159
$160
$160
$162
$162
$163
$165
$166
$166
$167
Net Cash
Flow from
Operations
Change in
Accounts
Receivable
Change in
Income Tax
Payable
Change in
Sales Tax
Payable
Change in
Prepaid
Revenue
Net Cash
Flow from
Operations
Investing &
Financing
Assets
Purchased or
Sold
Investments
Received
Dividends &
Distributions
54
Net Cash
Flow from
Investing &
Financing
Cash at
Beginning of
Period
Net Change in
Cash
Cash at End
of Period
($2,169)
($2,181)
($2,194)
($2,206)
($2,220)
($2,232)
($2,246)
($2,259)
($2,271)
($2,285)
($2,298)
($2,312)
$88,222
$87,566
$93,233
$94,081
$94,247
$99,913
$105,581
$105,748
$111,416
$117,083
$117,251
$122,918
($656)
$5,667
$848
$166
$5,666
$5,668
$167
$5,668
$5,667
$168
$5,667
$5,667
$87,566
$93,233
$94,081
$94,247
$99,913
$105,581
$105,748
$111,416
$117,083
$117,251
$122,918
$128,585
55
FY2014
FY2015
FY2016
Net Profit
$19,727
$27,313
$48,802
$13,814
$15,472
$15,471
Change in Accounts Receivable
($11,840)
($11)
($1,368)
Change in Inventory
($53,905)
($8,511)
($3)
Change in Accounts Payable
($12,319)
$1,411
$51
Change in Income Tax Payable
$3,481
$1,338
$3,791
Change in Sales Tax Payable
$5,440
($440)
$500
($35,602)
$36,572
$67,244
Change in Prepaid Revenue

Investing & Financing
Assets Purchased or Sold
($16,200)
Investments Received
Change in Long-Term Debt
$59,153
$17,426
($28,817)
Change in Short-Term Debt
$16,609
$10,264
$1,944
$59,562
$27,690
($26,873)
$3
$23,960
$88,214
$23,960
$64,262
$40,371
$23,963
$88,222
$128,585
Dividends & Distributions
Net Cash Flow from Investing & Financing

Cash at Beginning of Period
Net Change in Cash
Cash at End of Period

Garrett&#39;s Bike Shop

Diunggah oleh

Informasi Dokumen

Hak Cipta

Format Tersedia

Bagikan dokumen Ini

Bagikan atau Tanam Dokumen

Opsi Berbagi

Apakah menurut Anda dokumen ini bermanfaat?

Apakah konten ini tidak pantas?

Hak Cipta:

Format Tersedia

Garrett&#39;s Bike Shop

Diunggah oleh

Hak Cipta:

Format Tersedia

CONFIDENTIAL

488 East 11th Avenue, Suite 220

GARRETT'S BIKE SHOP - XERO

GARRETT'S BIKE SHOP - XERO

GARRETT'S BIKE SHOP - XERO

GARRETT'S BIKE SHOP - XERO

The current owner, Han Delbar will be available as a resource.

Order Out of Chaos, our full-cycle bookkeeping service.

Continental Shelf Bank.

GARRETT'S BIKE SHOP - XERO

Products and Services

Accessories. We offer a wide variety of accessories. Locks, computer speedometers,

Free 30-day/100-mile tune up with every new bike sold.

GARRETT'S BIKE SHOP - XERO

Installation of all accessories.

Authorized warranty repairs on the bikes.

Custom wheel building.

Frameset repairs by outsourcing to Via Porco custom frame builders.

One local multi-sport store at the local megamall

Three local, including the oldest shop in town.

Several garage mechanics offering service only.

GARRETT'S BIKE SHOP - XERO

Products and Services

Quality bikes at several price points.

Plenty of replacement components and service parts.

Friendly personal relationships between cyclists and shop staff.

They are mostly undergraduates, so there is a 25% annual turnover.

GARRETT'S BIKE SHOP - XERO

They want convenience for sales and service.

University employees are another prime market segment.

Are willing to commute by bicycle to work.

They want a stable, comfortable bike and a full range of accessories.

Greater Metroburg population.

1960s - Big rush on 10 speeds.

1970s - Touring bikes became popular.

1980s and 1990s - Huge growth of mountain bikes

2000s - Popularity of retro 'cruisers.'

GARRETT'S BIKE SHOP - XERO

GARRETT'S BIKE SHOP - XERO

GARRETT'S BIKE SHOP - XERO

Revenue Forecast Table

Accessories and Parts

Total Direct Cost

About the Revenue Forecast

GARRETT'S BIKE SHOP - XERO

Additionally, we have some special buys available for June graduation.

Sale of used bicycles taken in on trade.

Repair classes taught at the University Outdoor Center, once a term.

About the Personnel Plan

GARRETT'S BIKE SHOP - XERO

Employee Related Expenses

GARRETT'S BIKE SHOP - XERO

About the Budget

GARRETT'S BIKE SHOP - XERO

Loans and Investments

GARRETT'S BIKE SHOP - XERO

Cash Flow Assumptions

Avg Collection Period (Days)

Avg Payment Delay (Days)

About the Cash Flow Assumptions

GARRETT'S BIKE SHOP - XERO

Employee Related Expenses

GARRETT'S BIKE SHOP - XERO

Gross Margin by Year

Garrett's Bike Shop

Garrett's Bike Shop