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I need a financial Analysis on an existed business plan on keller pizza shop. ,The financials and I have a CPU price of $7.93 for sausage Pizza below...
I need a financial Analysis on an existed business plan on keller pizza shop. ,The financials and I have a CPU price of $7.93 for sausage Pizza below is the calculation and formula I used. I then plugged this formula into the sales projections and obtained the annual sales projection for sausage pizza,and I have attached a PPP that I have started. Let me know what you think,please provide feedback,comments and let me know a good time/ day to meet. I figured since I am home now for a while I can get started on some things so we will be ahead of the game.This is just a start and I will continue to work on the financials.
Variable Cost per month
Flour: $0.60Yeast: $0.05Water: $0.031Cheese: $4.00Pepperoni: $3.00Total: $7.68 per pizza
Fixed expenses per month
Labor: $1,800Rent: $2,000Insurance: $200Advertising: $600Utilities: $550Total: $5,150
Keller sells 20,000 pizzas, then its cost per unit would be calculated as follows: (CPU) = $7.68 + ($5,150/20,000) = $7.93
My first job was a local pizza shop that just started up. There were 4 workers plus the 1 owner (who only sometimes did work). My suggestion is to ensure that the numbers add up to at least $20/hour per each employee.
During week 6, teams work with the financial plan section of the business plan. A few notes that we found--by experience--worth to remind the teams are:
- Start your business with at least $300,000 total ($100,000 comes from the team; $200,000 comes from your bank or equity investor.)
- You can increase this up to $600,000 ($200K team/$400K bank or equity investor) with permission from your instructor.
- Your instructor will most likely give you permission, but explain why you need more money up front (i.e., you're buying land or a building, or you have a high equipment expense).
- Just be careful: As your start-up capital goes up, so will your five-year projections, and the numbers can start to get out of control and hard to work with when there are too many zeros at the end.
- The $200,000/$400,000 fund comes from angel investors or bank loans. Read the lessons in the course shell about these two options.
- Provisions to return this money must be considered in your financial plans. In "real life," businesses are encouraged to return the capital invested to outside investors first, and then to business team (e.g., to "cash out" the investment). The business team could decide to cash out only the investment interest and leave the original amount in the business for re-investment. However, this is optional and voluntary. The idea of investing is to recover that investment along with interest earnings.
I hope these notes will help to clarify some of your potential inquiries about the financial strategies for the business plan.KELLER PIZZA SHOPPROJECTED STATEMENT OF CASH FLOWSInflowsJanFebMarAprMayBal b/d$- $ 299,842.32 $ 28,700.00 $ 15,000.00 $ 5,300.00Sales$5,000.00 $5,000.00### $ 5,000.00 $ 5,000.00...