2. Business Plan
Assumptions:
Year Markets Headcount
1 Portugal Online 4
2 + Portugal Retail 6
3 + Rest of Europe Online 10
4 + Rest of Europe Retail 15
5 + Market Entry USA 20
CFO
COO
CMO
CDO
M. Intern
Trader
D. Intern
Programmer O. Intern
M. Intern
F. Intern
M. Manager
Trader
Designer
PR Manager
Programmer O. Manager
Designer
M. Manager M. Intern
3. Costs
Fixed Costs:
- Salaries
(Year 1: 48.000€, Year 5: 181.200€)
- Office Rent
- Electricity
- Internet/Telephone
Variable Costs:
- Marketing
(Year 1: 10.800€, Year 5: 430.000€)
- Outsourced Production (50€ per shoe)
(Year 1: 18.750€, Year 5: 7.500.000€)
- Comission for Retailers
Year 1
Fixed
Costs
Variable
Costs
Year 5
Fixed
Costs
Variable
Costs
4. Revenues
Sale Price for one shoe: 135€
Production Costs: 50€
Gross margin: 85€ per shoe
Sales Volume:
Year 1
First Month: 20
Growth Rate of Sales 1,05
Last Month: 41
Overall Sales Year 1: 375
Year 3
First Month: 147
Growth Rate of Sales 1,15
Last Month: 684
Overall Sales Year 3: 4263
Year 5
First Month: 5147
Growth Rate of Sales 1,10
Last Month: 14121
Overall Sales Year 5: 105837
Sales in Year 5 are high? Nike sells 16 million shoes per month. Think big!
5. Profits
Net Earnings:
Year 1: - 73.446€
Year 2: - 60.109€
Year 3: 139.163€
Year 4: 1.429.075€
Year 5: 6.386.297€
Break even in March of Year 3
Why do we need a financing?
Cash Flows Year 1:
Cash Flows Year 2:
We are looking for a 100.000€ financing in Year 1 and
a 150.000€ financing for Year 2.
