Successfully reported this slideshow.
We use your LinkedIn profile and activity data to personalize ads and to show you more relevant ads. You can change your ad preferences anytime.

G7 Financial Plan

819 views

Published on

Without animation the presentation does not look good, for better view download it!!!

Published in: Health & Medicine
  • Be the first to comment

  • Be the first to like this

G7 Financial Plan

  1. 1. Financial PlanSAPHVIDTM : For Early detection of Pre-eclampsiaMs. H. GwaniMs. S. JainMs. V. VarkeyMr. A. AwosusiMr. D. IgweMr. P. Waghmare
  2. 2. Mission: To provide innovative point of care diagnostic products for early detection of pregnancy related disordersVision: To become the leading experts for providing diagnostic solutions in the field of obstetrics
  3. 3. • 10% of all pregnancies• Costs global health care system 2 billion GBP/year• Pre-mature births (UK): 300 million GBP• 8 deaths/year (UK)*National Health Services, 2009
  4. 4. TMTechnology:Involves three biomarkers: sEng, Plgf and sflt.Intended Use:Early detection of Pre-eclampsia.Device Used:Triage Meter
  5. 5. •To determine capital structure (Operating budget)• To help the company frame financial policies as regards cash control,lending and borrowing•To aid maximal utilization of the limited resources made available to thecompany•To determine the NPV of G7 Diagnostics•To forecast the profit for the forthcoming years•To obtain the cash flow pattern & determine time for break even•To decide G7 exit strategy
  6. 6. •G7 uses the Last in first out (LIFO) strategy formarketing in UK•Straight line depreciation
  7. 7. •R&D, Clinical trials and Regulatory approvals: 7 years•Manufacturing and sales (sub-contracted): 8th year- 13th year•Annual depreciation rate on the capital items: 15%•Corporation tax rate: 18%•Partnered with Alere Inc. (Device manufacturer)
  8. 8. Gantt Chart ACTIVITY Year 1 Year 2 Year 3 Year 4 Year 5 Year 6 Year 7 Year 8 Year 9 Year 10 Year 11 Year 12 Year 13Development (internal)GMP manufacture pilot scale (subcontracted)Clinical trials (subcontracted)Regulatory approval (subcontracted)Full scale GMP manufacture (subcontracted)Internal Quality Control and Customer Support (internal) Patent filing schedule Patent 1 File PCT National Europe USA
  9. 9. Starting sales prices GBP per unit Country/ (GBP): Region UK 40 Europe 40 China 37 USA 42 India 35 Africa 35Cost per unit to manufacturer:•8th year: £2.50•11th year: £ 2.40reduces further by £0.05 per annum thereafter.
  10. 10. KEY PERFORMANCE IN
  11. 11. Sales Volume 350 300 250 UKNo. of units (000) 200 Rest of Europe 150 China 100 USA India 50 Africa 0 year 8 year 9 year 10 year 11 year 12 year 13 Sales revenue Years 12,000 10,000 Revenue GBP (000) 8,000 UK Rest of Europe 6,000 China 4,000 USA 2,000 India Africa 0 Year 8 year 9 year 10 Year 11 Year 12 Year 13 Years
  12. 12. Retained profit/ loss 25,000 20,000 15,000GBP 000 10,000 RETAINED PROFIT / (LOSS) 5,000 0 (5,000) 1 2 3 4 5 6 7 8 9 10 11 12 13 RETAINED PROFIT / (LOSS) (304) (169) (335) (429) (526) (243) (315) (415) 214 1,956 6,386 12,16 20,97 Year
  13. 13. Cummulative Cash flow (2011- 2023) Cash flow (2011-2023) 45000 25000 40000 CUMMULATI 35000 VE 20000 CASHFLOW 30000 15000 25000GB Pounds 20000 10000 CASHFLOW 15000 5000 10000 BREAK-EVEN POINT 5000 0 0 1 2 3 4 5 6 7 8 9 10 11 12 13 1 2 3 4 5 6 7 8 9 10 11 12 13 Year -5000 Year -5000
  14. 14. Cumulative Cash flow Cash flowYear GBP( ‘000) GBP( ‘000) 1 (383.9) (383.9) 2 (212.4) (596.3) 3 (368.6) (964.9) Pay back period: 4 (450.3) (1,415.2) 10 years+ (1954/ 6384) 5 (536.3) (1,951.5) 6 (191.8) (2,143.3) Approx. 10 years and 4 7 (294.4) (2,437.6) months 8 (395.1) (2,832.7) 9 219.6 (2,613.1) 10 1,953.5 (659.6) 11 6,383.9 5,724.2 12 12,162.3 17,886.5 13 20,973.6 38,860.1
  15. 15. Costs GBP (000) 700 600 500Cost GBP (000) 400 Costs GBP (000) 300 200 100 0 1 2 3 4 5 Years
  16. 16. Total research expenditure 400 350 300Cost GBP (000) 250 200 150 100 50 0 1 2 3 4 5 6 7 8 9 Years (2011-2023) 10 11 12 13
  17. 17. S.No. Head count activity Duration (year) Salary per annum Working pattern 2 days per week during research, 1 1 CSO Till pilot scale GMP 5 55,000 day per week for manufacturing 2 Design consultant Till pilot scale GMP 5 950 per day 2 days per week 3 Scientist (Ph.d.) Till pilot scale GMP 5 26,000 Full time 4 Scientist (B.Sc.) Till development 5 20,000 Full time 5 CEO Entire project 13 70,000 1 day per week 6 Assistant From pilot scale 3rd year 23,000 1 day per week 7 General Manager Entire project 13 55,000 2 days/week 8 Assistant Entire project 2nd year 18,000 2 days/ week QC maufacturing 4-5 year and from 9 manager Varies 8thyear 55,000 Full time 10 Assistant From manufacturing 8th year 18,000 Full time 11 Assistant From manufacturing 11th year 18,000 Full time 12 Finance Manager Entire project 13 years 55,000 1 day per week 13 Assistant 1 year before sales 7th year 18,000 1 day per week Business Develoment 14 Analyst Entire project 17 50,000 1 day per week Sales and Marketing 1 yr. before start of 15 director product manufacture 7th year 55,000 2 days per week 16 Assistant 1 Same as director 8th year 18,000 Full time 17 Assistant 2 Same as director 9th year 18,000 Full time Customer support After sales and 18 Officer marketing 8th year 25,000 Full time 19 Assistant When sales start 8th year 18,000 Full time 20 Sales and order officer Year when sales start 8th year 25,000 1 day per week
  18. 18. 2011-2023 Total Managemt/Admin cost (£000) £800.00 £700.00 £600.00 £500.00Cost in £000 £400.00 £300.00 £200.00 £100.00 £0.00 1 2 3 4 5 6 7 8 9 10 11 12 13 Year 2011- 2023
  19. 19. S.No. Phase Duration Estimated Cost involved (years) GBP (‘000)1 Research and 3.5 1,273 development2 GMP pilot scale 1.5 781 manufacture3 Clinical trials 1.5 4094 Regulatory approval 0.5 1605 Full scale GMP 5 3,846 manufacture
  20. 20. • Exit at the end of 13th year•Reasons: - Enough profit to cover all the expenses - Fierce competition - New upcoming technologies•Possible acquirers: Alere, Roche, Perkin Elmer
  21. 21. • According to our financial analysis:• Break even: 10th year• At the end of year 13: • Sales: GBP 42.8 million • Net present value: GBP 11.1 million • Cummulative Cash flow: GBP 38.8 million

×