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August 2011


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Table of Contents

1.0 Executive Summary .................................................................................................................... 1

1.1 Mission .......................................................................................................................................... 1

1.2 Keys to Success ........................................................................................................................ 1

1.3 Objectives.................................................................................................................................... 2

2.0 Company Summary..................................................................................................................... 2

2.1 Company Ownership ............................................................................................................... 2

2.2 Start-up Summary ................................................................................................................... 3

Table: Start-up Funding ............................................................................................................ 3

Table: Start-up.............................................................................................................................. 4

3.0 Products and Services ................................................................................................................ 5

4.0 Market Analysis Summary ........................................................................................................ 5

4.1 Market Segmentation ............................................................................................................. 5

Table: Market Analysis ............................................................................................................... 6

4.2 Target Market Segment Strategy ...................................................................................... 6

4.3 Service Business Analysis ..................................................................................................... 6

5.0 Strategy and Implementation Summary ............................................................................ 7

5.1 Sales Strategy ........................................................................................................................... 7

5.1.1 Sales Forecast.................................................................................................................... 7

Table: Sales Forecast ............................................................................................................. 8

5.2 Competitive Edge ..................................................................................................................... 9

5 3 Marketing Strategy 9


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Table: Profit and Loss............................................................................................................... 15

7.4 Projected Cash Flow .............................................................................................................. 15

Table: Cash Flow ........................................................................................................................ 16

7.5 Business Ratios ....................................................................................................................... 18

7.5 Business Ratios ....................................................................................................................... 18

Table: Ratios ................................................................................................................................ 18

7.6 Projected Balance Sheet...................................................................................................... 19

7.6 Projected Balance Sheet...................................................................................................... 19

Table: Balance Sheet................................................................................................................ 19


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1.0 Executive Summary

JUICED is a dessert bar and bakery located in the Business Improvement District (BID) ofWashington DC. We can loosely be described as a quick-service restaurant where customers sit

around a bar and watch their desserts being made. The show, as well as the dessert, is ourmain selling point.

JUICED will hold true to its vision of being a new concept with an old fashioned feel in order tobecome a favorite spot for DC natives. As the reported national leader in money spent inrestaurants, Washington DC is an optimal location for launching a new restaurant concept.

JUICED also hopes to become a destination for the thousands of tourists, both American and

foreign, who visit DC every year.

We plan to manipulate our location in the Business Improvement District to our utmostadvantage. Both tax incentives and high traffic due to the MCI Center will give us an edge as a

new business. As the BID fills up with new businesses over the next few years JUICED will

receive an added boost of increased traffic. Therefore, we are aggressively planning for a 50%increase in sales the second year of business.

By creating a new niche in the restaurant industry, JUICED will increase sales by morethan Rs145,000 over three years while maintaining a gross margin of 80%. Through aphilosophy of "nothing but the best" regarding both product and service, JUICED will establish

itself as an exceptional dessert bar in Washington DC. We also will gain a competitiveadvantage in take out and catered desserts.

This plan outlines our company concept, philosophy and forecasted financials. JUICED hopes tofind seed money of Rs300,000 to launch our business in June of 2003.

1.1 Mission

JUICED is a hospitality company dedicated to providing high-quality desserts in a comfortableatmosphere for clients who seek a fun "gourmet" experience outside restaurants. We intend to


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1.3 Objectives

1. Attain sales of Rs.5,000,000 in the first year.2. Increase second year sales by 10% and third year by 15%.

3. Start the roof top by the end of the 1st year.4. Expand to two shops by the third year of business.

2.0 Company Summary

JUICED is a dessert and juice bar concept based in the Business Improvement District of

Lahore It emphasizes handmade gourmet desserts in a casual atmosphere Watching your

-

1,000,000

2,000,000

3,000,000

4,000,000

5,000,000

6,000,000

7,000,000

2012 2013 2014

Sales

Gross Margin

Net Profit


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2.2 Start-up Summary

Our start-up costs come to Rs1,600,000 which is mostly kitchen equipment, store furnishingsand construction, and starting inventory expenses associated with opening our first store. The

start-up costs are to be financed by outside investment. The assumptions are shown in Table 1and Illustration 2.

Table: Start-up Funding

Start-up FundingStart-up Expenses to Fund R2,500,000Start-up Assets to Fund R130,000Total Funding Required R1,660,000

Assets

Non-cash Assets from Start-up R30,000Cash Requirements from Start-up R100,000Additional Cash Raised R0Cash Balance on Starting Date R100,000

Total Assets R130,000

Liabilities and Capital

Liabilities

Current Borrowing R0

Long-term Liabilities R0Accounts Payable (Outstanding Bills) R0Other Current Liabilities (interest-free) R0Total Liabilities R0


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Table: Start-up

Start-upRequirements

Start-up Expenses

Legal R20,000Office Supplies R50,000Beginning Inventory R25,000Sommelier consulting R0

Menus, etc R30,000Rent R75,000Design & Construction R1,000,000Research and Development R0Furnishings R200,000

Expensed Equipment R125,000Dishes, silverware, glassware, etc R5,000

Total Start-up Expenses R1,530,000

Start-up Assets

Cash Required R100,000

Start-up Inventory R30,000Other Current Assets R0Long-term Assets R0Total Assets R130,000

Total Requirements R1,660,000


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3.0 Products and Services

JUICED sells gourmet desserts coupled with exceptional customer service in a comfortingatmosphere. Customers can dine-in and watch the chef create their dessert. We also offercarry-out to prepare our desserts at home or have a special cake for a celebration.

We will also offer special promotions such as After School Cookie Club. Moms will be

encouraged to bring in their children for milk and cookies they help prepare! Or moms can

come in with friends for some relaxing time away during our Tea Time. And to promote JUICEDas a choice for celebrating, we will offer a large table that can be reserved for parties.

4.0 Market Analysis Summary


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Soccer Moms actually encompasses all family members. JUICED is a gathering place where

families are welcome and feel comfortable. "Moms" can come in for after school milk and

cookies with their children and relax while we pamper the little ones. Or they can meet up withfriends for our Tea Time - a little civilized time stolen in the midst of a busy day.

Table: Market Analysis

Market Analysis2001 2002 2003 2004 2005

Potential Customers Growth CAGR

Comfort Creatures 10% 3,000 5,500 6,050 6,655 7,321 24.99%Celebrators 15% 1,000 5,750 6,613 7,605 8,746 71.97%Soccer Mom's 20% 500 5,500 6,050 6,655 7,321 95.61%Total 50.99% 4,500 16,750 18,713 20,915 23,388 50.99%


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1. Restaurants: any restaurant offering dessert.

2. Ice Cream Shops: Baskin & Robbins, Ben & Jerry's, etc.

3. Donut and Coffee Shops: any place coffee and pastries are available for carry-out or dine-inconsumption.

4. Supermarket: in-store bakeries as well as frozen specialty desserts offer some competition.5. Bakeries: free-standing traditional bakeries.

5.0 Strategy and Implementation Summary

Convenience is in the eye of the beholder. By being a convenience store, we will focus mainly

on customers located within a close proximity of The Coffee Break.

Word-of-mouth will be our largest market promoter. Students and business people will find the

convenience and quality of The Coffee Break to be one that others should know about. In orderfor initial customers to be found, a distribution of flyers will be an inexpensive way of notifyingthose on campus.

With word-of-mouth and concentrating on the concentrated market, we will be able to assist

more customers at a higher level of quality while also conserving efficiency.

5.1 Sales Strategy

1. We need to sell the company as well as the product. Just as Al Nakhal became synonymous

with great coffee drinks, JUICED will come to be known as a gathering place with

spectacular desserts.2. We have to sell not only an amazing "show" as the desserts are created, but also an above

and beyond service team who are knowledgeable and friendly. People will always feelwelcome and at home at JUICED.

The Yearly Total Sales chart summarizes our ambitious sales forecast.

5.1.1 Sales Forecast


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Table: Sales Forecast

Sales ForecastFY 2002 FY 2003 FY 2004

Sales

Dessert Sales R267,689 R216,000 R280,800POP Sales R115,793 R3,445 R5,167

Carry Out R99,071 R6,240 R9,360Englisg Desi R165,142 R0 R0

Cocktail Juice R210,871 R0 R0

Cocktail Cake R52,315 R0 R0


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5.2 Competitive Edge

Our competitive edge is our unique niche in an old market. Although restaurants, cafes,bakeries, ice cream shops, Juice bars etc have an established position in the marketplace, none

are quite like JUICED. We are offering the customers a completely new experience and farhigher quality product. Nowhere else will they find a professional chef preparing gourmetdesserts right in front of them. The amazing popularity of the Food Network is proof of thepublic's new-found interest in being a spectator in the kitchen.

5.3 Marketing Strategy

JUICED' marketing strategy will be education of the consumer and subsequent word-of-mouth.


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employees who are dedicated to the success of JUICED should be rewarded. They will beleaders in our future store developments.

6.1 Personnel Plan

Our Personnel Plan begins at ground zero with the founder being the only employee. Wendi

James, the chef and proprietor, will initially serve as the only dessert bar chef, as well as

the store manager and the instructor for the weekly lessons. Being a graduate of Le CordonBleu in Paris, France with experience in three five-star restaurants she is well prepared for thejobs of chef and instructor. In addition, her degree from the University of Illinois, C-U in

Restaurant Management equally prepares her for the managerial aspects of the business.

JUICED intends to promote from within and reward the best employees with leadership roles.

Our opening employment goal is 4 with a goal to increase to 7 by the end of the first year, 10the second year and 12 the third year. We realize that this is very aggressive staffing, but

intend to hire culinary professionals who are used to the demands of the restaurant

business. By this hiring philosophy, we will be able to operate with fewer, but more productiveemployees and reward them accordingly. From that point we intend to increase theresponsibilities of each employee as opposed to hiring more people. Thereby rewarding those

who have worked hard to establish JUICED as a superior dessert shop. These people will then

be vital in our expansion as we open new stores.

Table: Personnel

Personnel PlanFY 2002 FY 2003 FY 2004

Chef/Proprietor R28,800 R31,680 R34,848Baker R3,920 R4,312 R6,720Host R4,347 R4,347 R4,347

Dessert Bar Assistants R7,200 R7,920 R8,712Dishwasher/Busser R5,796 R5,760 R5,760Total People 7 10 12

Total Payroll R50,063 R54,019 R60,387


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7.0 Financial Plan

It is key to our financial success to grow JUICED not just as a dessert bar, but as a company.We are looking for an investment of Rs300,000 seed money with the hopes of eventually selling

an established chain of dessert bars or establishing our company as a gourmet franchise. Thismeans we must always be reinvesting in the future of JUICED.

7.1 Important Assumptions

The financial plan depends on important assumptions, most of which are shown in the followingtable. The key underlying assumptions are:

We assume a slow-growth economy, without major recession. We assume of course that there are no unforeseen changes in technology to make products

immediately obsolete.

We assume access to equity capital and financing sufficient to maintain our financial plan asshown in the tables.

Table: General Assumptions

General AssumptionsFY 2002 FY 2003 FY 2004

Plan Month 1 2 3Current Interest Rate 10.00% 10.00% 10.00%Long-term Interest Rate 10.00% 10.00% 10.00%Tax Rate 30.00% 30.00% 30.00%Other 0 0 0


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7.2 Break-even Analysis

For our break-even analysis, we assume running costs including our full payroll, rent, andutilities, and an estimation of other running costs. Payroll alone, at our present run rate, is onlyabout Rs4,000.

Margins are harder to assume that far in the future.

Table: Break-even Analysis


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7.3 Projected Profit and Loss

An important assumption when calculating our P&L is the increase in sales from year to year.We are basing our assumptions on the financial success of Finale Dessertery in Boston,

Massachusetts. They reported a 50% increase in sales the second year of business followed by

a 30% increase the next year. We feel JUICED can match, if not beat those sales, consideringthe National Restaurant Association's analysis of the Bureau of Labor Statistics Consumer

Expenditure Survey states that Washington DC households spend the most at restaurants peryear.

It is also vital that we hold our food cost at 20% and 15% respectively for dine-in desserts and

POP, carry-out and weekly lessons. That will assure our gross margin remains high.


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Table: Profit and Loss

Pro Forma Profit and LossFY 2002 FY 2003 FY 2004

Sales R910,881 R225,685 R295,327Direct Cost of Sales R54,627 R47,232 R60,499Other Production Expenses R0 R0 R0Total Cost of Sales R54,627 R47,232 R60,499

Gross Margin R856,254 R178,453 R234,828Gross Margin % 94.00% 79.07% 79.51%

Expenses


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months with busy months with big holidays such as Christmas, Valentine's Day and Mother'sDay.

Table: Cash Flow

Pro Forma Cash FlowFY 2002 FY 2003 FY 2004

Cash Received

Cash from Operations


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Purchase Long-term Assets R0 R0 R0Dividends R0 R0 R0Subtotal Cash Spent R334,771 R225,777 R228,471

Net Cash Flow R576,109 (R92) R66,856Cash Balance R676,109 R676,017 R742,873


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7.5 Business Ratios

Table: Ratios

Ratio AnalysisFY 2002 FY 2003 FY 2004 Industry Profile

Sales Growth 0.00% -75.22% 30.86% 4.56%

Percent of Total AssetsInventory 1.15% 0.99% 1.16% 13.08%Other Current Assets 0.00% 0.00% 0.00% 33.35%Total Current Assets 100.00% 100.00% 100.00% 54.27%Long-term Assets 0.00% 0.00% 0.00% 45.73%Total Assets 100.00% 100.00% 100.00% 100.00%

Current Liabilities 6.49% 1.67% 1.87% 24.73%Long-term Liabilities 0.00% 0.00% 0.00% 27.23%Total Liabilities 6.49% 1.67% 1.87% 51.96%Net Worth 93.51% 98.33% 98.13% 48.04%

Percent of Sales

Sales 100.00% 100.00% 100.00% 100.00%Gross Margin 94.00% 79.07% 79.51% 24.26%Selling, General & Administrative Expenses 78.24% 62.69% 55.61% 12.12%

Advertising Expenses 1.38% 1.04% 0.80% 0.98%Profit Before Interest and Taxes 79.92% 20.13% 31.99% 1.92%

Main Ratios

Current 15.42 59.85 53.57 1.37Quick 15.24 59.26 52.95 0.74Total Debt to Total Assets 6.49% 1.67% 1.87% 59.26%Pre-tax Return on Net Worth 113.82% 6.77% 12.81% 4.93%

Pre-tax Return on Assets 106.44% 6.65% 12.57% 12.10%

Additional Ratios FY 2002 FY 2003 FY 2004

Net Profit Margin 55.94% 14.09% 22.39% n.aReturn on Equity 79.67% 4.74% 8.97% n.a


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7.6 Projected Balance Sheet

The balance sheet is quite solid. We do not project any real trouble meeting our debtobligations - as long as we can achieve our specific objectives. We realize we've projected

aggressively, but are confident the location we've chosen for JUICED, as well as the dessert barconcept itself , will be very successful.

At this point we haven't included any assets or depreciation in our calculations. Whether wepurchase new or used kitchen equipment will determine those numbers at a later date.

Table: Balance Sheet

Pro Forma Balance SheetFY 2002 FY 2003 FY 2004

Assets

Current Assets

Cash R676,109 R676,017 R742,873Inventory R7,842 R6,780 R8,685Other Current Assets R0 R0 R0Total Current Assets R683,951 R682,797 R751,558

Long-term Assets

Long-term Assets R0 R0 R0Accumulated Depreciation R0 R0 R0Total Long-term Assets R0 R0 R0Total Assets R683,951 R682,797 R751,558

Liabilities and Capital FY 2002 FY 2003 FY 2004

Current Liabilities

Accounts Payable R44,364 R11,408 R14,031Current Borrowing R0 R0 R0Other Current Liabilities R0 R0 R0Subtotal Current Liabilities R44,364 R11,408 R14,031

L t Li biliti R0 R0 R0


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Appendix

Page 1

Table: Sales Forecast

Sales ForecastSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

SalesDessert Sales 0% R12,000 R13,200 R14,520 R15,972 R17,569 R19,326 R24,500 R27,286 R28,629 R31,282 R32,333 R31,072POP Sales 0% R200 R200 R200 R5,286 R9,214 R6,700 R10,829 R11,993 R14,957 R16,129 R18,371 R21,714Carry Out 0% R300 R300 R300 R2,500 R5,957 R8,043 R11,529 R13,243 R13,114 R13,086 R16,529 R14,171

Englisg Desi 0% R300 R0 R0 R9,586 R13,200 R14,300 R19,171 R21,843 R22,314 R22,471 R22,157 R19,800Cocktail Juice 0% R300 R0 R0 R4,871 R11,629 R17,600 R22,471 R29,386 R31,743 R32,371 R30,643 R29,857Cocktail Cake 0% R300 R0 R3,614 R3,929 R4,400 R5,029 R5,657 R5,971 R6,129 R6,443 R5,029 R5,814Cokctail Icecream 0% R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Sales R13,400 R13,700 R18,634 R42,143 R61,969 R70,998 R94,156 R109,721 R116,886 R121,781 R125,062 R122,429

Direct Cost of Sales Sep Oct Nov Dec Jan Feb Mar Apr May Jun Jul AugDessert Sales R2,400 R2,640 R2,904 R3,194 R3,513 R3,864 R4,250 R4,675 R5,142 R5,656 R6,222 R6,844POP Sales R30 R30 R30 R15 R15 R15 R45 R8 R75 R15 R45 R75

Carry Out R45 R45 R45 R45 R45 R75 R150 R30 R105 R30 R75 R75Weekly Lessons R270 R270 R270 R135 R135 R135 R270 R135 R135 R135 R135 R135Subtotal Direct Cost of Sales R2,745 R2,985 R3,249 R3,389 R3,708 R4,089 R4,715 R4,848 R5,457 R5,836 R6,477 R7,129


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Appendix

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Table: Personnel

Personnel PlanSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

Chef/Proprietor 0% R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400 R2,400Baker 0% R0 R0 R0 R0 R0 R560 R560 R560 R560 R560 R560 R560Host 0% R483 R0 R0 R0 R483 R483 R483 R483 R483 R483 R483 R483Dessert Bar Assistants 0% R600 R600 R600 R600 R600 R600 R600 R600 R600 R600 R600 R600Dishwasher/Busser 0% R483 R483 R483 R483 R483 R483 R483 R483 R483 R483 R483 R483Total People 4 4 4 4 4 5 5 5 5 7 7 7

Total Payroll R3,966 R3,483 R3,483 R3,483 R3,966 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526


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Appendix

Page 3

Table: General Assumptions

General AssumptionsSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

Plan Month 1 2 3 4 5 6 7 8 9 10 11 12Current Interest Rate 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%Long-term Interest Rate 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00% 10.00%Tax Rate

30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00% 30.00%

Other 0 0 0 0 0 0 0 0 0 0 0 0


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Appendix

Page 4

Table: Profit and Loss

Pro Forma Profit and LossSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

Sales R13,400 R13,700 R18,634 R42,143 R61,969 R70,998 R94,156 R109,721 R116,886 R121,781 R125,062 R122,429Direct Cost of Sales R2,745 R2,985 R3,249 R3,389 R3,708 R4,089 R4,715 R4,848 R5,457 R5,836 R6,477 R7,129Other Production Expenses R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Cost of Sales

R2,745 R2,985 R3,249 R3,389 R3,708 R4,089 R4,715 R4,848 R5,457 R5,836 R6,477 R7,129

Gross Margin R10,655 R10,715 R15,385 R38,754 R58,261 R66,909 R89,441 R104,874 R111,429 R115,945 R118,585 R115,300Gross Margin % 79.51% 78.21% 82.56% 91.96% 94.02% 94.24% 94.99% 95.58% 95.33% 95.21% 94.82% 94.18%

ExpensesPayroll R3,966 R3,483 R3,483 R3,483 R3,966 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526

Sales and Marketing and Other Expenses R1,000 R0 R0 R0 R0 R300 R500 R0 R0 R0 R0 R500Depreciation R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Leased Equipment R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Utilities R500 R500 R500 R500 R500 R500 R500 R500 R500 R500 R500 R500

Insurance R200 R200 R200 R200 R200 R200 R200 R200 R200 R200 R200 R200Rent R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000 R5,000Payroll Taxes 15% R595 R522 R522 R522 R595 R679 R679 R679 R679 R679 R679 R679Other R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Total Operating Expenses R11,261 R9,705 R9,705 R9,705 R10,261 R11,205 R11,405 R10,905 R10,905 R10,905 R10,905 R11,405

Profit Before Interest and Taxes (R606) R1,010 R5,680 R29,049 R48,001 R55,704 R78,036 R93,969 R100,524 R105,040 R107,680 R103,895

EBITDA (R606) R1,010 R5,680 R29,049 R48,001 R55,704 R78,036 R93,969 R100,524 R105,040 R107,680 R103,895Interest Expense R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Taxes Incurred (R182) R303 R1,704 R8,715 R14,400 R16,711 R23,411 R28,191 R30,157 R31,512 R32,304 R31,169

Net Profit (R424) R707 R3,976 R20,334 R33,600 R38,993 R54,625 R65,778 R70,367 R73,528 R75,376 R72,727Net Profit/Sales -3.17% 5.16% 21.34% 48.25% 54.22% 54.92% 58.02% 59.95% 60.20% 60.38% 60.27% 59.40%


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Appendix

Page 5

Table: Cash Flow

Pro Forma Cash FlowSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

Cash Received

Cash from OperationsCash Sales

R13,400 R13,700 R18,634 R42,143 R61,969 R70,998 R94,156 R109,721 R116,886 R121,781 R125,062 R122,429

Subtotal Cash from Operations R13,400 R13,700 R18,634 R42,143 R61,969 R70,998 R94,156 R109,721 R116,886 R121,781 R125,062 R122,429

Additional Cash ReceivedSales Tax, VAT, HST/GST Received 0.00% R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0New Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Other Liabilities (interest-free) R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0New Long-term Liabilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Sales of Other Current Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Sales of Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

New Investment Received R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Subtotal Cash Received R13,400 R13,700 R18,634 R42,143 R61,969 R70,998 R94,156 R109,721 R116,886 R121,781 R125,062 R122,429

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

Expenditures from OperationsCash Spending R3,966 R3,483 R3,483 R3,483 R3,966 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526 R4,526Bill Payments R237 R7,094 R6,572 R8,160 R15,129 R20,785 R23,653 R31,534 R38,764 R42,713 R44,201 R45,866Subtotal Spent on Operations R4,203 R10,577 R10,055 R11,643 R19,095 R25,311 R28,179 R36,060 R43,290 R47,239 R48,727 R50,392

Additional Cash SpentSales Tax, VAT, HST/GST Paid Out R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Principal Repayment of Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Other Liabilities Principal Repayment R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Long-term Liabilities Principal Repayment R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Purchase Other Current Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Purchase Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Dividends R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0

Subtotal Cash Spent R4,203 R10,577 R10,055 R11,643 R19,095 R25,311 R28,179 R36,060 R43,290 R47,239 R48,727 R50,392

Net Cash Flow R9,197 R3,123 R8,579 R30,500 R42,874 R45,687 R65,977 R73,661 R73,596 R74,542 R76,335 R72,037

Cash Balance R109,197 R112,320 R120,899 R151,400 R194,274 R239,961 R305,938 R379,599 R453,195 R527,737 R604,072 R676,109


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Appendix

Page 6

Table: Balance Sheet

Pro Forma Balance SheetSep Oct Nov Dec Jan Feb Mar Apr May Jun Jul Aug

Assets Starting Balances

Current AssetsCash R100,000 R109,197 R112,320 R120,899 R151,400 R194,274 R239,961 R305,938 R379,599 R453,195 R527,737 R604,072 R676,109Inventory R30,000 R27,255 R24,270 R21,021 R17,632 R13,924 R9,835 R6,120 R5,332 R6,003 R6,420 R7,125 R7,842Other Current Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Current Assets R130,000 R136,452 R136,590 R141,920 R169,032 R208,198 R249,796 R312,058 R384,931 R459,198 R534,157 R611,197 R683,951

Long-term Assets

Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Accumulated Depreciation R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Long-term Assets R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Assets R130,000 R136,452 R136,590 R141,920 R169,032 R208,198 R249,796 R312,058 R384,931 R459,198 R534,157 R611,197 R683,951

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

Current LiabilitiesAccounts Payable R0 R6,876 R6,308 R7,662 R14,439 R20,005 R22,610 R30,247 R37,342 R41,242 R42,672 R44,336 R44,364Current Borrowing R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Other Current Liabilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Subtotal Current Liabilities R0 R6,876 R6,308 R7,662 R14,439 R20,005 R22,610 R30,247 R37,342 R41,242 R42,672 R44,336 R44,364

Long-term Liabilities R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0 R0Total Liabilities R0 R6,876 R6,308 R7,662 R14,439 R20,005 R22,610 R30,247 R37,342 R41,242 R42,672 R44,336 R44,364

Paid-in Capital R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000 R1,660,000Retained Earnings (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000) (R1,530,000)Earnings R0 (R424) R283 R4,258 R24,593 R58,193 R97,186 R151,811 R217,589 R287,956 R361,484 R436,860 R509,587Total Capital R130,000 R129,576 R130,283 R134,258 R154,593 R188,193 R227,186 R281,811 R347,589 R417,956 R491,484 R566,860 R639,587Total Liabilities and Capital R130,000 R136,452 R136,590 R141,920 R169,032 R208,198 R249,796 R312,058 R384,931 R459,198 R534,157 R611,197 R683,951

Net Worth R130,000 R129,576 R130,283 R134,258 R154,593 R188,193 R227,186 R281,811 R347,589 R417,956 R491,484 R566,860 R639,587

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