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Organic Smoothie Financial Plan

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Part IV -- Budget & Finance for Organic Smoothie
Organic Smoothie has initial $25,000 to start this project. Organic Smoothie is seeking an investment of $75,000 for startup of our store. This amount will be used for marketing, utilities, and any new expenses we may incur as a result of production. Organic Smoothie will have an estimated annual revenue growth rate of about 16% per year.
Estimated cash receivable for the year is expected to reach $80,000; the remaining revenue will be collected from credit purchases of $125,000 bringing our total revenue to $205,000. This is an estimated number based on comparing to similar businesses year’s earnings. However, we estimate that our real numbers will be higher. Since we provide seasonal options our revenue should not be impacted because of changes through-out the year. Organic Smoothie Company has designed a business plan for consumer needs for every month of the year with a direct detailed approach considering the freshest produce.
Our direct overhead and variable expenses have been applied to all products in our store, to ensure accurate profit. Produce delivery charges, current store costs and maintenance on equipment supply the bulk of our overhead costs. All of our variable expenses include materials and labor.
We have three full time employees that cost a total of 46,080 annually. Our overhead expenses are 11,300, for a net income of $147,620.
Our expected payback period is 5 years at 5%; investors will receive $3,750 in interest for a total payback amount of $78,750 with monthly payments of $1,312.50.

The income statement for the fiscal year for OSC is listed below. Organic Smoothie Company | | Income Statement | | | | | | | | Revenues: | | | Sales Revenue | $205,000 | | | | | | Expenses: | | | Salary

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