The Financials

Section I: The Business Plan financials (Excel document)

1. Using your NAB Company Portfolio and the first year of your business plan for the company, you will complete all the worksheets in the Excel document in order, so that you can complete the Income Statement, Cash Flow Projections, and Balance Sheet sections from the Business Plan Financials spreadsheet.  

Notes: 

The setup and marketing worksheet should already be completed from Assignment 2. 

Use the instructions provided in the Business Plan Financials Guide to help you complete this document, as well as the NAB Portfolio (pages 4-8). 

To submit: Attach the completed Excel worksheet to the discussion thread (click on the Add Content button under the Post button to access the attachment option when you are ready to submit, attach your document and then click submit)  

Section II: Financial section of the business plan (compose as a Word document and paste in the discussion window) 

You will have 3 headings as outlined below:

1.Sources and use of funds: Outline the funds you have currently (see portfolio pages 4 and 8) and the ones you intend to raise (you need to raise funds per the portfolio page 4). Explain how you plan to use the funds (a clear plan for how you will use the money).

Before addressing this section please review: 

Sources and Use of Funds section on page 312 of your textbook-Sample plan on page 325 for an idea on how to address this section. 

2. Plan assumptions: The Financial plan must be based on decisions and facts. Investors want to know if this plan is realistic. In this section you will outline your plan assumptions.
 

Before addressing this section please review: 

The setup and assumptions sheet in your Excel document.  

Sample plan in your textbook page 326 

Assumption sheet in your textbook page 313.  

Article about the 5 key assumptions of your business plan.  

3. Break-even analysis: The break-even point is the point at which you make enough money in revenue to pay your expenses, but no profit (or loss). In this section, clarify what the break-even number is for year one (average). You will extract this information from the Break-even tab in the Excel document. 

Before addressing this section please review: 

Page 314 in the textbook, which covers the break-even analysis. 

The BrkEvn (Break-Even) worksheet in your Excel document. You would have calculated this there.