EXECUTIVE SUMMARY

The Cashew Day Care is a business concept into full-service child care/development facility to care for toddlers from six months to Five Years. The Toddler Warehouse will be concentrating on lower and middle income parents. These parents concerned about their children’s development will be willing to contribute something to have their children attend day care at that early age.

Through specialized training of the staff and innovative learning systems, Cashew Day Care shall be a cutting edge in terms of child development. Its curriculum, coupled with a custom designed facility and a low teacher: student ratio is aimed at ensuring a top shelf service for the children and the parents.

The Cashew Day Care expects to become profitable by two years, and has projected a modest net profit by year three. Cashew Day Care shall be registered under the Companies Code of Ghana as a Non-Governmental Organization (NGO).

1.1 Objectives

The objectives for the first three years of operation include:

· To create a service based operation whose primary goal is to exceed customer’s expectations.

· The utilization of the Cashew Day Care by at least 40 different families in the first eight months.

· To increase the number of clients served by 20% each year.

· To develop a sustainable, profitable, start-up business.

1.2 Mission

The Mission of Cashew Day Care is to provide top level child care. We exist to attract and maintain customers. When we adhere to this maxim, everything else will fall into place. Our services will exceed the expectations of our customers.

COMPANY SUMMARY

The cashew day care, soon to be located in Santasi, Kumasi in Ghana, will offer child care services for kid between six months and five years. The day care will offer services from 7a.m to 4p.m. The children will be exposed to a wide range of activities including arts and crafts, socialization, large muscle group activities, general learning. Cashew Day Care will target the low income and the middle lncome, but shall strive to provide to quality services by ensuring a low student to teacher ratio and well trained staff. The center shall specifically be located on plot 24 block 0, at Santasi in Kumasi. The land is personally acquired with a boys quarters and a foundation to be converted solely into a child care center.

Company Ownership
The Care Day Center shall be solely owned by the initiator Mr. Baffour Arhin Sarpong.

Start-up Summary
The Care Day Center start-up costs shall include:
The conversion of the Boys Quarters into a facility to accommodate the children as well as the construction of play grounds with bathrooms and kitchen depreciated using the straight line method

Stackable chairs
[depreciated]
Tables [depreciated]
Office furniture [depreciated]
TV and VCR [depreciated]
Sleeping mats and pillows [depreciated]
Outdoor playground set [depreciated]
Storage bins [depreciated]

Child Care Business Plan

CASHEW DAY CARE

Executive Summary

The Cashew Day Care is a business concept into full-service child care/development facility to care for toddlers from Six months to Five Years. The Toddler Warehouse will be concentrating on lower and middle income parents. These parents concerned about their children's development will be willing to contribute something to have their children attend day care at that early age.
Through specialized training of the staff and innovative learning systems, Cashew Day Care shall be a cutting edge in terms of child development. Its curriculum, coupled with a custom designed facility and a low teacher: student ratio is aimed at ensuring a top shelf service for the children and the parents.
The Cashew Day Care expects to become profitable by two years, and has projected a modest net profit by year three. Cashew Day Care shall be registered under the Companies Code of Ghana as a Non-Governmental Organization (NGO).

1.1 Objectives

The objectives for the first three years of operation include:

To create a service based operation whose primary goal is to exceed customer's expectations.
The utilization of The Cashew Day Care by at least 40 different families in the first eight months.
To increase the number of client's served by 20% each year.
To develop a sustainable, profitable, start-up business.

1.2 Mission

2015 2016 2017

2.0 Company Summary

The Cashew Day Care, to be located in Santasi, Kumasi in Ghana, will offer child care services for kids between Six months and Five years. The Day Care will offer services from 7a.m. to 4p.m. The children will be exposed to a wide range of activities including arts and crafts, socialization, large muscle group activities, and general learning. Cashew Day Care shall target mainly the low income and the middle income but shall strive to provide quality services by ensuring a low student to teacher ratio and well trained staff. The Centre shall specifically be located on Plot 24 Block 0, at Santasi in Kumasi. The land is personally acquired with a Boys Quarters and a foundation to be converted solely into a child care center.

2.1 Company Ownership

The Cashew Day Care Centre shall be solely owned by the initiator Mr. Baffour Arhin Sarpong.

2.2 Start-up Summary

The Cashew Day Care Centre start-up costs shall include:

The conversion of the Boys Quarters into a facility to accommodate the children as well as the Construction of play grounds with bathrooms and kitchen (depreciated using the straight line method)
Stackable chairs (depreciated)
Tables (depreciated)
Office furniture (depreciated)
TV and VCR (depreciated)
Sleeping mattresses and pillows (depreciated)
Outdoor playground set (depreciated)
Storage bins (depreciated)
Laundry facilities (depreciated)
Computer system with printer, CD-RW, and Internet connection (depreciated)
Copier and fax machine (depreciated)
Art supplies
Toys
Medicine kits
Kitchen supplies
Brochures
Cleaning supplies
Legal fees
Advertising costs

Start-up

Requirements

Start-up Expenses
Legal	$1,000
Stationery etc.	$100
Brochures	$350
Art supplies	$150
Kitchen supplies	$200
Cleaning supplies	$100
Medicine kits	$100
Mattresses and pillows	$150
Other	$0
Total Start-up Expenses	$2,150

Start-up Assets
Cash Required	$49,250
Other Current Assets	$0
Long-term Assets	$33,600
Total Assets	$82,850

Total Requirements	$85,000 -350,000

Start-up Funding
Start-up Expenses to Fund	$2,150
Start-up Assets to Fund	$82,850
Total Funding Required	$85,000-350,000

Assets
Non-cash Assets from Start-up	$33,600
Cash Requirements from Start-up	$49,250
Additional Cash Raised	$0
Cash Balance on Starting Date	$49,250
Total Assets	$82,850


Liabilities and Capital

Liabilities
Current Borrowing	$0
Long-term Liabilities	$0
Accounts Payable (Outstanding Bills)	$0
Other Current Liabilities (interest-free)	$0
Total Liabilities	$0

Capital

Planned Investment
Investor 1	$85,000-350,000
Investor 2	$0
Other	$0
Additional Investment Requirement	$0
Total Planned Investment	$85,000-350,000

Loss at Start-up (Start-up Expenses)	($2,150)
Total Capital	$82,850


Total Capital and Liabilities	$82,850

Total Funding	$85,000-350,000

3.0 Services

The Cashew Day Care for toddler’s age Six months to five years shall offer a low teacher to pupil ratio, custom facilities, and innovative learning programs. Open hours shall be between the normal business hours of 8.am to 3pm with possible extension to 5pm when the need arises to accommodate the working parents, the target customer.
The Center shall be an innovative solution that acts as virtual parents, broadening the children's skills during the day. This is not a baby sitter facility. The children are engaged throughout the day, learning new skills and reinforcing already acquired ones. They shall also have adequate rest.

4.0 Market Analysis Summary

The Centre shall be offering child care/development for toddlers’ age between six months and five years. The target group shall be low and middle income families who, because of work and other obligations, do not have the time during the day to care for their children, but would like them to be enrolled in a program that offers development of many different skills including: socialization skills, arts and crafts, large muscle group workouts, reading, numbers, etc.

4.1 Market Segmentation

The Cashew Day Care Centre shall be targeting one specific customer group, the lower and middle class. This group often has both parents working, not allowing them time to raise their child during the day. This group, though may not be financially independent are willing to spend a little extra to get care and education for their children.
This customer group is typically made up of two professional parents. This would explain why the parents 1) low and middle income people who work, and 2) are ambitious in terms of their children's learning and development.

Market Analysis
		2015	2016	2017	2018	2019
Potential Customers	Growth						CAGR
Two income professional families	9%	12,000	12,000	13,080	14,257	15,540	6.68%
Other	0%	0	0	0	0	0	0.00%
Total	6.68%	12,000	12,000	13,080	14,257	15,540	6.68%

4.2 Target Market Segment Strategy

The Centre intends to concentrate on low and middle income working professional families because they are the ones who need day care because of their work obligations, appreciate the need for advanced learning and development the Cashew Day Care has to offer, and lastly are a growing segment of our society.
As Ghana continues to be a society of people working long hours, there will always be the need for child care. The trend of longer work weeks is increasing and this drives The Cashew Day Care idea.

4.3 Service Business Analysis

There will be competition in the child care industry. This industry is fairly broad and populated, there are companies at all levels, from the basic baby sitter services, to competitors of The Cashew Day Care within the Kuamsi Metropolis and even in Santasi where the facility is going to be located. Most of these service providers offer standard business hours, with a few extending into the evening. There are scheduled services and no reservation drop off services. Price, quality, and good feeling is known to drive a lot of parental choices. The Cashew Day Care believes the secret to success is to 1) concentrate on only a portion of the market, and 2) choose a portion of the market that is growing.

4.3.1 Competition and Buying Patterns

There are many different competitors in the child care space. The Cashew Day Care will only detail the direct or reasonably direct competitors, and will not detail the myriad of other service providers that offer some sort of child care option. The direct competitors are:

Well established plush Child Care Centers. These are typically larger facilities that offer care to a wide range of ages. The number of children serviced is usually quite large. The child care is adequate, although somewhat impersonal by virtue of its large size. Such facilities often add primary schools to their services.
Small, home based Child Care. These competitors are people that have a child care facility based out of their house. The quality of these ranges considerably, some are great, some are sub par. Most of the Day Care Centers in Santasi- Kumasi fall within this category.
Medium sized companies. These are typically independently owned facilities. Some of theses will handle a wide range of ages; others will specialize with a specific age group. Our intention is to start small and become medium size in the medium term.

5.0 Strategy and Implementation Summary

The Cashew Day Care is targeting a very specialize niche in child care space. The niche here is the low and middle income working parents. With this in mind, the Centre will carefully communicate its services for good patronage by its target segment. What will be communicated are The Day Care’s competitive advantages: specialized training of the staff and innovative learning programs. If the targeted parent hears and understands these advantages, they will more likely be willing to switch to our services.
In addition, Cashew Day Care will be using tours of the facilities to sell its services. Tours in the industry are pretty standard. Most parents want to see a facility before they will send their kids there. The facilities shall be standard so that they speak for themselves. Therefore, it will be a priority to get the parents to view the facilities for them to be convinced.

5.1 Competitive Edge

The Cashew Day Care’s competitive edge is two-fold:

Specialized training- The facility can only be as good as the teachers and assistants. With this in mind, it shall have a specialized training program that all teachers and assistants are put through so they are proficient at teaching the specific programs that Cashew Day Care shall offer. The employees shall be put through an intensive week long course and only after they pass the intensive training will they be allowed to work with the children.

Innovative learning programs- Typical learning programs for toddlers. This shall focus on specific traits and only work on one trait/ skill at a time. While this is successful in reinforcing the skill, it is often very difficult for the child to appreciate the interrelationships of the different skills. Consequently, the child can learn the skill, but has difficulty applying the skill when faced with multiple stimuli. Therefore Cashew Day Care shall make available appropriate learning programmes according to the ages so that the children can learn skills that will prepare them for early education and also understand interrelationships. And also to ensure a strong support for the skills learnt and taught together, just as you would expect to encounter them in real life, so that children are able to assimilate the new task into their skill set much quicker.

5.2 Sales Strategy

The Cashew Day Care’s sales strategy will be targeting low and middle income working families. The sales strategy will be based on a communication effort to explain the virtues of the program and how time at The Centre can speed up the children's development considerably. In addition to one on one explanation of the program and its merits, the prospective parents will be given tours of the facilities. The tour of the facility will serve two purposes:

The tour will be used as a way to impress the prospect of the facilities that The Centre has. Facilities shall be custom designed to achieve very specific educational goals. Parents shall be immensely proud of the facilities.

The tours shall occur during the day and this becomes a perfect opportunity for the potential customer to view the care as it is occurring. This will serve to build a trust bond between The Cashew Day Care and the parent who naturally is cautious about leaving the child with strangers to have the child cared for and taught the entire day.

In essence, The Cashew Day shall let the facilities and teacher/pupil interactions speak for themselves. Because of the intended high level of service, this shall entirely be possible.

.2.1 Sales Forecast

The first two months will be spent renovating the house and bringing it up to specifications for the Social Welfare Department to give its approval. During the training programmes shall be run for staff. This training programme has already been developed according to Ghana Education Service and Department of Social Welfare specifications awaiting implementation.
The first week of the third month will be used for training of the staff. By the middle of the third month The Cashew Day Care will begin accepting children for care. It is anticipated that the facility will be under-utilized until the eighth month. By then, word will have spread and the classes will be filling up quite nicely.
From month seven on, there will be a steady, incremental increase in sales.

2015 2016 2017

Sales Forecast
	2015	2016	2017
Sales
Two income professional families	$174,425	$335,458	$351,254
Other	$0	$0	$0
Total Sales	$174,425	$335,458	$351,254

Direct Cost of Sales	2013	2014	2015
Two income professional families	$3,489	$6,709	$7,025
Other	$0	$0	$0
Subtotal Direct Cost of Sales	$3,489	$6,709	$7,025

5.3 Milestones

The Toddler Warehouse will have several milestones early on:

Business plan completion. This will be done as a road map for the organization. While we do not need a business plan to raise capital, it will be an indispensable tool for the ongoing performance and improvement of the company.
Finish renovating the facilities.
First group of teachers and assistants trained.

Jan. 13 Feb. Mar.

Milestones

Milestone	Start Date	End Date	Budget	Manager	Department
Business plan completion	1/1/2015	2/1/2015	$0	Mr.Sarpong	Marketing
Finish renovating the facilities	1/1/2015	3/1/2015	$0	Mr. Sarpong	Department
First group of teachers and assistants trained	3/1/2015	3/15/2015	$0	Mr. Sarpong	Department
Totals			$0

Managing Director

Management Summary

The founder and owner will be the Managing Director of the Business. However the day to day running of the business will be done by a well trained competent hired staff. Employees shall include master’s degree holders in child care as well as Bsc. Degree holders. Premium shall be put on competency and experience..

6.1 Personnel Plan

The staff will consist of Mr. Baffour Ahin Sarpong working full-time, in a training and leadership role for the organization. During month three, the following staff will be brought on board: two teachers, two assistants, and a general help person who will help out with custodial, cooking, and laundry tasks. By month seven, two more assistants will be hired.

Personnel Plan
	2015	2016	2017
Mr. Sarpong	$24,000	$30,000	$36,000
Teacher	$12,000	$18,000	$24,000
Teacher	$15,000	$18,000	$24,000
Teaching assistant	$12,000	$14,000	$16,000
Teaching assistant	$12,000	$14,000	$16,000
Others	$15,000	$18,000	$18,000


Total People	8	8	8

Total Payroll

Financial Plan

The following sections will outline the important financial details.

7.1 Important Assumptions

The following tables show some financial assumptions for the Cashew Day Care.

General Assumptions
	2015	2016	2017
Plan Month	1	2	3
Current Interest Rate	10.00%	10.00%	10.00%
Long-term Interest Rate	10.00%	10.00%	10.00%
Tax Rate	25.42%	25.00%	25.42%
Other	0	0	0

7.2 Break-even Analysis

The Break-even Analysis indicates what is needed in monthly revenue to break even.

Break-even Analysis

Monthly Revenue Break-even	$18,669

Assumptions:
Average Percent Variable Cost	2%
Estimated Monthly Fixed Cost	$18,296

7.3 Projected Profit and Loss

The following table will indicate projected profit and loss.

2015 2016 2017

2015 2016 2017

Pro Forma Profit and Loss
	2015	2016	2017
Sales	$174,425	$335,458	$351,254
Direct Cost of Sales	$3,489	$6,709	$7,025
Other	$0	$0	$0
Total Cost of Sales	$3,489	$6,709	$7,025

Gross Margin	$170,937	$328,749	$344,229
Gross Margin %	98.00%	98.00%	98.00%


Expenses
Payroll	$163,000	$216,000	$222,000
Sales and Marketing and Other Expenses	$1,800	$0	$0
Depreciation	$0	$0	$0
Licenses	$1,200	$1,200	$1,200
Utilities	$2,100	$2,100	$2,100
Mortgage	$24,000	$24,000	$24,000
Insurance	$3,000	$3,000	$3,000
Payroll Taxes	$24,450	$32,400	$33,300
Other	$0	$0	$0

Total Operating Expenses	$219,550	$278,700	$285,600

Profit Before Interest and Taxes	($48,614)	$50,049	$58,629
EBITDA	($48,614)	$50,049	$58,629
Interest Expense	$0	$0	$0
Taxes Incurred	$0	$12,512	$14,902

Net Profit	($48,614)	$37,537	$43,727
Net Profit/Sales	-27.87%	11.19%	12.45%

7.4 Projected Cash Flow

The following chart and table will indicate projected cash flow.

Pro Forma Cash Flow
	2015	2016	2017
Cash Received

Cash from Operations
Cash Sales	$174,425	$335,458	$351,254
Subtotal Cash from Operations	$174,425	$335,458	$351,254

Additional Cash Received
Sales Tax, VAT, HST/GST Received	$0	$0	$0
New Current Borrowing	$0	$0	$0
New Other Liabilities (interest-free)	$0	$0	$0
New Long-term Liabilities	$0	$0	$0
Sales of Other Current Assets	$0	$0	$0
Sales of Long-term Assets	$0	$0	$0
New Investment Received	$0	$0	$0
Subtotal Cash Received	$174,425	$335,458	$351,254

Expenditures	2015	2016	2017

Expenditures from Operations
Cash Spending	$163,000	$216,000	$222,000
Bill Payments	$54,442	$80,784	$85,230
Subtotal Spent on Operations	$217,442	$296,784	$307,230

Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out	$0	$0	$0
Principal Repayment of Current Borrowing	$0	$0	$0
Other Liabilities Principal Repayment	$0	$0	$0
Long-term Liabilities Principal Repayment	$0	$0	$0
Purchase Other Current Assets	$0	$0	$0
Purchase Long-term Assets	$0	$0	$0
Dividends	$0	$0	$0
Subtotal Cash Spent	$217,442	$296,784	$307,230

Net Cash Flow	($43,017)	$38,674	$44,024
Cash Balance	$6,233	$44,906	$88,930

7.5 Projected Balance Sheet

The following table will indicate the projected balance sheet.

Pro Forma Balance Sheet
	2015	2016	2017
Assets

Current Assets
Cash	$6,233	$44,906	$88,930
Other Current Assets	$0	$0	$0
Total Current Assets	$6,233	$44,906	$88,930

Long-term Assets
Long-term Assets	$33,600	$33,600	$33,600
Accumulated Depreciation	$0	$0	$0
Total Long-term Assets	$33,600	$33,600	$33,600
Total Assets	$39,833	$78,506	$122,530

Liabilities and Capital	2015	2016	2017

Current Liabilities
Accounts Payable	$5,596	$6,733	$7,030
Current Borrowing	$0	$0	$0
Other Current Liabilities	$0	$0	$0
Subtotal Current Liabilities	$5,596	$6,733	$7,030

Long-term Liabilities	$0	$0	$0
Total Liabilities	$5,596	$6,733	$7,030

Paid-in Capital	$85,000	$85,000	$85,000
Retained Earnings	($2,150)	($50,764)	($13,227)
Earnings	($48,614)	$37,537	$43,727
Total Capital	$34,237	$71,773	$115,501
Total Liabilities and Capital	$39,833	$78,506	$122,530

Net Worth	$34,237	$71,773	$115,501

7.6 Business Ratios

Business ratios for the years of this plan are shown in the table below. Industry profile ratios based on the Standard Industrial Classification (SIC) code 8351, Child Day Care Services, are shown for comparison.

Ratio Analysis
	2015	2016	2017	Industry Profile
Sales Growth	0.00%	92.32%	4.71%	9.50%

Percent of Total Assets
Other Current Assets	0.00%	0.00%	0.00%	26.80%
Total Current Assets	15.65%	57.20%	72.58%	44.70%
Long-term Assets	84.35%	42.80%	27.42%	55.30%
Total Assets	100.00%	100.00%	100.00%	100.00%

Current Liabilities	14.05%	8.58%	5.74%	31.80%
Long-term Liabilities	0.00%	0.00%	0.00%	31.00%
Total Liabilities	14.05%	8.58%	5.74%	62.80%
Net Worth	85.95%	91.42%	94.26%	37.20%

Percent of Sales
Sales	100.00%	100.00%	100.00%	100.00%
Gross Margin	98.00%	98.00%	98.00%	0.00%
Selling, General & Administrative Expenses	125.87%	86.81%	85.48%	75.60%
Advertising Expenses	1.03%	0.00%	0.00%	0.70%
Profit Before Interest and Taxes	-27.87%	14.92%	16.69%	2.60%

Main Ratios
Current	1.11	6.67	12.65	1.27
Quick	1.11	6.67	12.65	1.14
Total Debt to Total Assets	14.05%	8.58%	5.74%	62.80%
Pre-tax Return on Net Worth	-141.99%	69.73%	50.76%	5.40%
Pre-tax Return on Assets	-122.04%	63.75%	47.85%	14.60%

Additional Ratios	2015	2016	2017
Net Profit Margin	-27.87%	11.19%	12.45%	n.a
Return on Equity	-141.99%	52.30%	37.86%	n.a

Activity Ratios
Accounts Payable Turnover	10.73	12.17	12.17	n.a
Payment Days	27	27	29	n.a
Total Asset Turnover	4.38	4.27	2.87	n.a

Debt Ratios
Debt to Net Worth	0.16	0.09	0.06	n.a
Current Liab. to Liab.	1.00	1.00	1.00	n.a

Liquidity Ratios
Net Working Capital	$636	$38,173	$81,901	n.a
Interest Coverage	0.00	0.00	0.00	n.a

Additional Ratios
Assets to Sales	0.23	0.23	0.35	n.a
Current Debt/Total Assets	14%	9%	6%	n.a
Acid Test	1.11	6.67	12.65	n.a
Sales/Net Worth	5.09	4.67	3.04	n.a
Dividend Payout	0.00	0.00	0.00	n.a

Appendix

Sales Forecast
		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Sales
Two income professional families	0%	$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458
Other	0%	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Sales		$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458

Direct Cost of Sales		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Two income professional families		$0	$0	$150	$180	$245	$317	$357	$397	$431	$451	$471	$489
Other		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Subtotal Direct Cost of Sales		$0	$0	$150	$180	$245	$317	$357	$397	$431	$451	$471	$489

Personnel Plan
		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Matt	0%	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
Teacher	0%	$0	$0	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000
Teacher	0%	$0	$0	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000	$3,000
Teaching assistant	0%	$0	$0	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
Teaching assistant	0%	$0	$0	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
General help person	0%	$0	$0	$1,500	$1,500	$1,500	$1,500	$1,500	$1,500	$1,500	$1,500	$1,500	$1,500
Teaching assistant	0%	$0	$0	$0	$0	$0	$0	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
Teaching assistant	0%	$0	$0	$0	$0	$0	$0	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
Total People		1	1	6	6	6	6	8	8	8	8	8	8

Total Payroll		$2,000	$2,000	$13,500	$13,500	$13,500	$13,500	$17,500	$17,500	$17,500	$17,500	$17,500	$17,500

General Assumptions
	Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Plan Month	1	2	3	4	5	6	7	8	9	10	11	12
Current 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%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%	25.00%
Other	0	0	0	0	0	0	0	0	0	0	0	0

Pro Forma Profit and Loss
		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Sales		$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458
Direct Cost of Sales		$0	$0	$150	$180	$245	$317	$357	$397	$431	$451	$471	$489
Other		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Cost of Sales		$0	$0	$150	$180	$245	$317	$357	$397	$431	$451	$471	$489

Gross Margin		$0	$0	$7,350	$8,820	$12,009	$15,557	$17,497	$19,457	$21,114	$22,094	$23,070	$23,969
Gross Margin %		0.00%	0.00%	98.00%	98.00%	98.00%	98.00%	98.00%	98.00%	98.00%	98.00%	98.00%	98.00%


Expenses
Payroll		$2,000	$2,000	$13,500	$13,500	$13,500	$13,500	$17,500	$17,500	$17,500	$17,500	$17,500	$17,500
Sales and Marketing and Other Expenses		$150	$150	$150	$150	$150	$150	$150	$150	$150	$150	$150	$150
Depreciation		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Licenses		$100	$100	$100	$100	$100	$100	$100	$100	$100	$100	$100	$100
Utilities		$175	$175	$175	$175	$175	$175	$175	$175	$175	$175	$175	$175
Mortgage		$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000	$2,000
Insurance		$250	$250	$250	$250	$250	$250	$250	$250	$250	$250	$250	$250
Payroll Taxes	15%	$300	$300	$2,025	$2,025	$2,025	$2,025	$2,625	$2,625	$2,625	$2,625	$2,625	$2,625
Other		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0

Total Operating Expenses		$4,975	$4,975	$18,200	$18,200	$18,200	$18,200	$22,800	$22,800	$22,800	$22,800	$22,800	$22,800

Profit Before Interest and Taxes		($4,975)	($4,975)	($10,850)	($9,380)	($6,191)	($2,643)	($5,303)	($3,343)	($1,686)	($706)	$270	$1,169
EBITDA		($4,975)	($4,975)	($10,850)	($9,380)	($6,191)	($2,643)	($5,303)	($3,343)	($1,686)	($706)	$270	$1,169
Interest Expense		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Taxes Incurred		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0

Net Profit		($4,975)	($4,975)	($10,850)	($9,380)	($6,191)	($2,643)	($5,303)	($3,343)	($1,686)	($706)	$270	$1,169
Net Profit/Sales		0.00%	0.00%	-144.67%	-104.22%	-50.52%	-16.65%	-29.70%	-16.84%	-7.83%	-3.13%	1.15%	4.78%

Pro Forma Cash Flow
		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Cash Received

Cash from Operations
Cash Sales		$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458
Subtotal Cash from Operations		$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458

Additional Cash Received
Sales Tax, VAT, HST/GST Received	0.00%	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
New Current Borrowing		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
New Other Liabilities (interest-free)		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
New Long-term Liabilities		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Sales of Other Current Assets		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Sales of Long-term Assets		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
New Investment Received		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Subtotal Cash Received		$0	$0	$7,500	$9,000	$12,254	$15,874	$17,854	$19,854	$21,545	$22,545	$23,541	$24,458

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

Expenditures from Operations
Cash Spending		$2,000	$2,000	$13,500	$13,500	$13,500	$13,500	$17,500	$17,500	$17,500	$17,500	$17,500	$17,500
Bill Payments		$99	$2,975	$3,038	$4,851	$4,882	$4,947	$5,039	$5,658	$5,698	$5,732	$5,752	$5,771
Subtotal Spent on Operations		$2,099	$4,975	$16,538	$18,351	$18,382	$18,447	$22,539	$23,158	$23,198	$23,232	$23,252	$23,271

Additional Cash Spent
Sales Tax, VAT, HST/GST Paid Out		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Principal Repayment of Current Borrowing		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Other Liabilities Principal Repayment		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Long-term Liabilities Principal Repayment		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Purchase Other Current Assets		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Purchase Long-term Assets		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Dividends		$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Subtotal Cash Spent		$2,099	$4,975	$16,538	$18,351	$18,382	$18,447	$22,539	$23,158	$23,198	$23,232	$23,252	$23,271

Net Cash Flow		($2,099)	($4,975)	($9,038)	($9,351)	($6,128)	($2,573)	($4,685)	($3,304)	($1,653)	($687)	$289	$1,187
Cash Balance		$47,151	$42,176	$33,138	$23,787	$17,659	$15,086	$10,401	$7,096	$5,443	$4,757	$5,046	$6,233

Pro Forma Balance Sheet
		Jan	Feb	Mar	Apr	May	Jun	Jul	Aug	Sep	Oct	Nov	Dec
Assets	Starting Balances

Current Assets
Cash	$49,250	$47,151	$42,176	$33,138	$23,787	$17,659	$15,086	$10,401	$7,096	$5,443	$4,757	$5,046	$6,233
Other Current Assets	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Current Assets	$49,250	$47,151	$42,176	$33,138	$23,787	$17,659	$15,086	$10,401	$7,096	$5,443	$4,757	$5,046	$6,233

Long-term Assets
Long-term Assets	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600
Accumulated Depreciation	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Long-term Assets	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600	$33,600
Total Assets	$82,850	$80,751	$75,776	$66,738	$57,387	$51,259	$48,686	$44,001	$40,696	$39,043	$38,357	$38,646	$39,833

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

Current Liabilities
Accounts Payable	$0	$2,876	$2,876	$4,688	$4,717	$4,780	$4,850	$5,469	$5,507	$5,540	$5,559	$5,578	$5,596
Current Borrowing	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Other Current Liabilities	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Subtotal Current Liabilities	$0	$2,876	$2,876	$4,688	$4,717	$4,780	$4,850	$5,469	$5,507	$5,540	$5,559	$5,578	$5,596

Long-term Liabilities	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0	$0
Total Liabilities	$0	$2,876	$2,876	$4,688	$4,717	$4,780	$4,850	$5,469	$5,507	$5,540	$5,559	$5,578	$5,596

Paid-in Capital	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000	$85,000
Retained Earnings	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)	($2,150)
Earnings	$0	($4,975)	($9,950)	($20,800)	($30,180)	($36,371)	($39,015)	($44,318)	($47,661)	($49,347)	($50,053)	($49,782)	($48,614)
Total Capital	$82,850	$77,875	$72,900	$62,050	$52,670	$46,479	$43,835	$38,532	$35,189	$33,503	$32,797	$33,068	$34,237
Total Liabilities and Capital	$82,850	$80,751	$75,776	$66,738	$57,387	$51,259	$48,686	$44,001	$40,696	$39,043	$38,357	$38,646	$39,833

Net Worth	$82,850	$77,875	$72,900	$62,050	$52,670	$46,479	$43,835

Business Plan: Children Care Center. Kumasi-Ghana.

Thursday 26 March 2015

Saturday 4 August 2012

For Assistant, Advice and Financial Support

Child Care Business Plan

CASHEW DAY CARE