Экономический план получения инвестиций

1. ECONOMIC PLAN
OF INVESTMENT PROJECT
FOR IMPLEMENTATION A BUSINESS-MODEL
BASED ON ENERGETIC SERVICE CONTRACTS

2. Project result indicators
TOTAL PROJECTCOST
Total project cost 8 187 000 USD
KPI
Project duration 10 years
Discount rate 12 %
Net Present Value
NPV
6 999 909,25 USD
Internal Rate of Return
IRR
28,7 %
Return on Investment
ROI
85,5 %
Payback Period
PBP
3,4 years
Discounted Payback Period
DPBP
4,4 years
Profitability index
PI
1,86

3. Technical overview
LLC DL-L Company orders in factories and sells a wide range of LED-equipment intended for office,
industrial and commercial facilities, as well as outdoor lighting systems.
We offer following types of LED equipment:
 Outdoor lighting
 Industrial lighting
 Spotlights
 Mass market lamps T8
 Mass market lamps T5
 Ceiling lights
 LED-panels
The recoupment period of this project depends on the energy-saving efficiency of LED-lighting
equipment we sell, and its lifespan.
TECHNICAL DATA*
LED-equipment lifespan (at least) 50 000 hours
LED-equipment life-time (at least) 5,7 years
LED-equipment energy-saving
efficiency** (at least)
300 %
Electricity price*** 0,081 USD/kW-hr
LED-equipment cash savings rate**
(at least)
0,054 USD/kW-hr
* All dataare confirmedbyourbusinesspractice
** Those calculationsare made forLED-lampT8-Tube-12W 1200mm as an example. Powerusage of ourLED-
equipmentT8-Tube-12W1200mm iscomparedto equal fluorescentequipmentPhilips T8-TL-D-36W1200 mm
(illuminance isequalforboth)
*** Electricityprice inUkraine in2019 May
Price formation
It is supposed to sell our equipment for the clients with markup ~150% on its factory price. The
markup is cover taxes, custom fees and logistic expenses. After all, we should earn ~70% over the
total purchase costs.
Item
(as an example)
Manufactory
price
Taxes and
fees
logistics
expenses
Total purchasing
costs (per pcs.)
LED-lamp T8-Tube-12W
1200mm
10,20 USD 42,0% 5,0% 14,99 USD

4. Item
(as an example)
Markup
rate
Total purchase
costs (per pcs.)
Price
for a client
(incl. VAT)
Margin
LED-lamp T8-Tube-12W
1200mm
~70% 14,99 USD 25,70 USD 10,71 USD
Sales plan, Income and Expenditures (overview)
Project income consists of payments from clients for supplied LED-equipment. The company is
actively negotiating with potential clients and prepared a preliminary sales plan, based on work
experience at this market. So, in August 2019, our company plans to supply a consignment of LED-
equipment for the Eco-Market retail chain in the amount of 34,387 pieces. We extrapolate our
expectations for subsequent periods and plan further sales around 30,000 LED-devices monthly,
taking into account seasonal fluctuations. The target (average) sales plan for this project is about
370,000 LED-devices annually.
The project risks map reflects the company's strategy for managing potential threats. That map is
available on demand.
1 year 2 year 3 year 4 year 5 year
Sales of the LED-equipment by
years (pieces)
361 200 369 648 368 999 369 305 369 611
Installed equipment, but still in
our property at the end of a
year (pieces)
361 200 369 648 368 999 369 305 369 611
Equipment purchase total costs
(USD),including:
5 415 832,80 5 542 502,11 5 532 775,20 5 537 363,37 5 541 951,53
Loan or Investment funds (USD) 5 415 832,80 2 771 251,06 - - -
Own money, that is generated by
the project (USD)
- 2 771 251,06 5 532 775,20 5 537 363,37 5 541 951,53
Incomefrom sales 7 377 048,00 9 439 691,18 9 484 757,49 9 486 068,40 9 493 933,82
6 year 7 year 8 year 9 year 10 year
Sales of the LED-equipment by
years (pieces)
368 999 368 999 368 999 368 999 368 999
Installed equipment, but still in
our property at the end of a
year (pieces)
368 999 368 999 368 999 368 999 368 999
Equipment purchase total costs
(USD),including:
5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20
Loan or Investment funds (USD) - - - - -
Own money, that is generated by
the project (USD)
5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20
Incomefrom sales (USD) 9 497 866,53 9 484 757,49 9 484 757,49 9 484 757,49 9 484 757,49

5. As the clients will make payments for the supplied equipment for an installment period of up to 6
months, the first year income will increase quite slowly but become stable and high by the second
year.
At the same time, from the beginning of the project, the costs to equipment purchases are directly
proportional to the volume of pre-ordered (and sold) equipment. Cause we sale on pre-order.
Capital Expenditure
To implement the project, the company needs to increase the number of employees and the number
of equipped workplaces in the office. We also need to purchase some new specialized tools for the
company's Service Center, and we also need two vehicles.
The depreciation period of the office and specialized tools, as well as vehicles, is 5 years. For project
duration of 10 years, the company plans two rounds of capital expenditures.

6. Financial Plan
Here and below we do all calculations in United States Dollars (USD).
This Financial Plan is calculated for this particular project and does not take into account the
existing working capital of the company, and also does not take into account the cash flows from
other projects.
Income
Income 1 year 2 year 3 year 4 year 5 year
Income fromsales 7 377 048,00 9 439 691,18 9 484 757,49 9 486 068,40 9 493 933,82
Income 6 year 7 year 8 year 9 year 10 year
Income fromsales 9 497 866,53 9 484 757,49 9 484 757,49 9 484 757,49 9 484 757,49
Capital Expenditure
Capital Expenditure 1
year
2
year
3
year
4
year
5
year
6
year
7
year
8
year
9
year
10
year
Office equipment
and furniture
6 000,00 - - - - 7 000,00
- - - -
Tech equipment 1 500,00 - - - - 8 000,00 - - - -
Vehicles 57 000,00 - - - - 80 000,00 - - - -
TOTAL: 64 500,00 - - - - 95 000,00 - - - -
Operating Expenses
According to DL-L financial model and for convenience of calculations, we are divided all Operating
Expenses into 3 categories:
 Equipment-for-sale purchasing
 Company Operating Expenses
 Loan payment Expenses
Equipment-for-sale
purchasing
1 year 2 year 3 year 4 year 5 year
LED-equipment-for-sale
purchase total costs
5 415 832,80 5 542 502,11 5 532 775,20 5 537 363,37 5 541 951,53
Equipment-for-sale
purchasing
6 year 7 year 8 year 9 year 10 year
LED-equipment-for-sale
purchase total costs
5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20

7. Company Operating Expenses 1 year 2 year 3 year 4 year 5 year
Basic SalaryFund 45 000,00 84 168,00 85 851,36 87 568,39 89 319,75
BonusFund 73 770,48 94 396,91 94 847,57 94 860,68 94 939,34
Tax deductionsfrompayroll 47 508,19 71 425,96 72 279,57 72 971,63 73 703,64
Service Center&techsupport 1 800,00 1 800,00 1 800,00 3 600,00 4 800,00
Equipmentmaintenance and
fixing
5 525,76 10 787,21 17 876,21 24 961,49 32 052,64
Royalties - - - - -
Accountingservices 360,00 360,00 360,00 600,00 600,00
Rentof property+Internet,
electricity,water+Office
expenses
12 000,00 12 000,00 12 000,00 12 000,00 12 000,00
Rentof warehouse space 4 800,00 4 800,00 - - -
Transport expenses 8 280,00 8 280,00 8 280,00 9 600,00 12 000,00
PR-company,Advertisement 14 400,00 14 400,00 14 400,00 14 400,00 14 400,00
Otherexpenses 6 000,00 6 000,00 6 000,00 12 000,00 12 000,00
Depreciationdeductions 12 900,00 12 900,00 12 900,00 12 900,00 12 900,00
TOTAL 232 344,43 321 318,09 326 594,72 345 462,18 358 715,37
Company Operating Expenses 6 year 7 year 8 year 9 year 10 year
Basic SalaryFund 91 106,15 92 928,27 94 786,84 96 682,58 98 616,23
BonusFund 94 978,67 94 847,57 94 847,57 94 847,57 94 847,57
Tax deductionsfrompayroll 74 433,93 75 110,34 75 853,77 76 612,06 77 385,52
Service Center&techsupport 4 800,00 4 800,00 4 800,00 4 800,00 4 800,00
Equipmentmaintenance and
fixing
35 374,43 35 445,77 35 441,56 35 441,07 35 434,70
Royalties - - - - -
Accountingservices 600,00 600,00 600,00 600,00 600,00
Rentof property+Internet,
electricity,water+Office
expenses
12 000,00 12 000,00 12 000,00 12 000,00 12 000,00
Rentof warehouse space - - - - -
Transport expenses 12 000,00 12 000,00 12 000,00 12 000,00 12 000,00
PR-company,Advertisement 14 400,00 14 400,00 14 400,00 14 400,00 14 400,00
Otherexpenses 12 000,00 12 000,00 12 000,00 12 000,00 12 000,00
Depreciationdeductions 19 000,00 19 000,00 19 000,00 19 000,00 19 000,00
TOTAL 370 693,18 373 131,95 375 729,74 378 383,28 381 084,02
Loan payments* 1 year 2 year 3 year 4 year 5 year
Brokerservice - - - - -
Paymentsonbankloans - - - - -
TOTAL - - - - -
Loan payments* 6 year 7 year 8 year 9 year 10 year
Brokerservice - - - - -
Paymentsonbankloans - - - - -
TOTAL - - - - -

8. *This version of the Economic plan is based on attracting a private investment capital. An investor
gets a company share and the right to participate in the profit. Investment capital has to be used like
the working capital, and lending is not necessary.
CASH FLOWFORECAST
1 year 2 year 3 year 4 year 5 year
TOTAL Income 7 377 048,00 9 439 691,18 9 484 757,49 9 486 068,40 9 493 933,82
TOTAL CapEx 64 500,00
TOTAL OpEx,including: 5 648 177,23 5 863 820,20 5 859 369,92 5 882 825,55 5 900 666,90
TOTAL Equipment-for-sale
purchasing
5 415 832,80 5 542 502,11 5 532 775,20 5 537 363,37 5 541 951,53
TOTAL Company Operating
Expenses
232 344,43 321 318,09 326 594,72 345 462,18 358 715,37
TOTAL Loan payment
Expenses
- - - - -
PROFIT before Tax 1 664 370,77 3 575 870,98 3 625 387,57 3 603 242,84 3 593 266,92
TAX (18%) 299 586,74 643 656,78 652 569,76 648 583,71 646 788,05
Net PROFIT
(EAT- earnings after taxes)
1 364 784,03 2 932 214,21 2 972 817,81 2 954 659,13 2 946 478,88
6 year 7 year 8 year 9 year 10 year
TOTAL Income 9 497 866,53 9 484 757,49 9 484 757,49 9 484 757,49 9 484 757,49
TOTAL CapEx 95 000,00
TOTAL OpEx,including: 5 903 468,38 5 905 907,16 5 908 504,94 5 911 158,48 5 913 859,23
TOTAL Equipment-for-sale
purchasing
5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20 5 532 775,20
TOTAL Company Operating
Expenses
370 693,18 373 131,95 375 729,74 378 383,28 381 084,02
TOTAL Loan payment
Expenses
- - - - -
PROFIT before Tax
(Undiscounted)
3 499 398,15 3 578 850,33 3 576 252,55 3 573 599,01 3 570 898,26
TAX (18%) 629 891,67 644 193,06 643 725,46 643 247,82 642 761,69
Net PROFIT
(EAT- earnings after taxes)
2 869 506,49 2 934 657,27 2 932 527,09 2 930 351,19 2 928 136,58

9. Intermediate CashFlow (ICF)
1 year 2 year 3 year 4 year 5 year
Net PROFIT
(EAT- earningsaftertaxes)
1 364 784,03 2 932 214,21 2 972 817,81 2 954 659,13 2 946 478,88
Undiscounted
Cumulative Cash Flow
1 364 784,03 4 296 998,24 7 269 816,04 10 224 475,18 13 170 954,05
Discounted Cumulative
Cash Flow
(discount rate = 12%)
(NPV,12%)
1 218 557,17 3 556 100,38 5 672 093,38 7 549 832,67 9 221 743,92
6 year 7 year 8 year 9 year 10 year
Net PROFIT
(EAT- earningsaftertaxes)
2 869 506,49 2 934 657,27 2 932 527,09 2 930 351,19 2 928 136,58
Undiscounted
Cumulative Cash Flow
16 040 460,54 18 975 117,81 21 907 644,91 24 837 996,10 27 766 132,67
Discounted Cumulative
Cash Flow
(discount rate = 12%)
(NPV,12%)
10 675 525,20 12 003 015,12 13 187 413,63 14 244 127,64 15 186 909,25
Net CashFlow (NCF)
As was mentioned above, this Financial Plan is calculated for this particular project and does not take
into account the existing working capital of the company, and also does not take into account the
cash flows from other projects.
0 year 1 year 2 year 3 year 4 year 5 year
Initial Cash Flow
(ICF)
-8 187 000,00
Net PROFIT (EAT) -8 187 000,00 1 364 784,03 2 932 214,21 2 972 817,81 2 954 659,13 2 946 478,88
Net Undiscounted
Cumulative Cash
Flow
-8 187 000,00 -6 822 215,97 -3 890 001,76 -917 183,96 2 037 475,18 4 983 954,05
IRR
NPV (discountrate
= 12%)
-8 187 000,00 -6 968 442,83 -4 630 899,62 -2 514 906,62 -637 167,33 1 034 743,92

10. 6 year 7 year 8 year 9 year 10 year
Initial Cash Flow
(ICF)
Net PROFIT (EAT) 2 869 506,49 2 934 657,27 2 932 527,09 2 930 351,19 2 928 136,58
Net Undiscounted
Cumulative Cash
Flow
7 853 460,54 10 788 117,81 13 720 644,91 16 650 996,10 19 579 132,67
IRR 21,2% 24,3% 26,4% 27,8% 28,7%
NPV (discountrate
= 12%)
2 488 525,20 3 816 015,12 5 000 413,63 6 057 127,64 6 999 909,25
ROI (discountrate =
12%)
30,4% 46,6% 61,1% 74,0% 85,5%
PI 1,86
CumulativeCash Flow diagram for the Project (forecast)
-10,000,000 $
-8,000,000 $
-6,000,000 $
-4,000,000 $
-2,000,000 $
- $
2,000,000 $
4,000,000 $
6,000,000 $
8,000,000 $
10,000,000 $
12,000,000 $
14,000,000 $
16,000,000 $
18,000,000 $
20,000,000 $
22,000,000 $
1 2 3 4 5 6 7 8 9 10
Year Net Undiscounted Cumulative Cash Flow NPV (12%)

11. Forecast for the Company financial sustainability due to this Project*
*the dividend payments to shareholders was not taken into account for this calculation
- $
2,000,000 $
4,000,000 $
6,000,000 $
8,000,000 $
10,000,000 $
12,000,000 $
14,000,000 $
16,000,000 $
18,000,000 $
20,000,000 $
22,000,000 $
24,000,000 $
26,000,000 $
28,000,000 $
30,000,000 $
32,000,000 $
34,000,000 $
36,000,000 $
38,000,000 $
1 2 3 4 5 6 7 8 9 10 11
Year Net Undiscounted Cumulative Cash Flow NPV (12%)