The Financial Plan
Financial Needs Summary
Investment funding is needed for capital expenses and operating expenses for the first year of operation.
| Computer/Electronic Equipment | $90,000 |
|---|---|
| Office Furniture | $16,000 |
| Marketing Materials/Promotions | $215,000 |
| Office Lease (for first year) | $60,000 |
| Utilities | $12,000 |
| Inventory/Packaging Setup | $35,000 |
| Salaries/benefits | $780,000 |
| TOTAL Financing Needed: | $1,208,000.00 |
Revenue Model
PDAware's revenue will be brought in through product sales, upgrades, and annual renewals of support contracts. Future avenues for revenue include product training workshops and a bi-monthly magazine.
Assumptions and Comments
- The financial statements for year one are based on projections for sales for Phase one (IT market).
- Sales from August 2001-December 2001 reflect an estimated 450 units to be sold to the PMI at a 35% reduced cost per unit.
- Phase two will begin in January of 2002, and phase three in July of 2002.
- Sales projections for the first year are $1.2 million.
- Sales commissions were figured on 80% of total sales. (Assuming that 20% of units sold will come from Web site sales and other direct response sales.) Commission rate is 10%.
Financial Statements follow in the Appendices of this business plan.
View Balance Sheet
View Profit and Loss Statement 3-Year Summary
View Profit and Loss Statement Year 1
View Profit and Loss Statement Year 2
View Cash Flow Statement Year 1
View Cash Flow Statement Year 2
