Financial Analysis for a Contracting School Business Plan

Running Head: BUSINESS PLAN 0
Financial Analysis

Running Head: BUSINESS PLAN 1
Table of Contents
Introduction................................................................................................................................2
STATEMENT OF PRO FORMA COMPREHENSIVE INCOME...........................................2
Assumptions and Justifications..............................................................................................4
Statement of Financial Position.................................................................................................5
Assumptions and justifications...............................................................................................6
Cash Budget...............................................................................................................................7
Assumptions and justifications...............................................................................................9
Scrutiny......................................................................................................................................9
Valuation..................................................................................................................................10
Conclusion................................................................................................................................11
References................................................................................................................................12

Running Head: BUSINESS PLAN 2
Introduction
To derive a business plan several layers needs to be included. The overall financial
needs of the business shall be overviewed with respect to the desired assets purchased to keep
the business for the long run. A contracting school engages in the community outreach, and
for this purpose the business requires specific amount of funding. A place whether purchased
or leased or rental for starting the contracting school. Also the funds would be required to get
equipment that the business would require for training the people. The contracting school also
requires huge amount of advertisement so that people get to know about the courses
available, the fees and they can compare the same. The company also needs to tie up with
other companies to provide placement to trained people.
There are various alternatives available for financing. Either the contractor school can
get short term or long-term funds or a combination of both depending upon the needs. The
priority shall be the highest level of liquidity so that the contractor school. Short term
methods of financing involve, taking loan from the banks, investment in funds and on the
other hand short term loans can be derived from the money lenders. Long term financing
involves arrangement of funds from the financial institution and long term loans from banks.
Therefore, the requirements of the business form the basis of the type of financing that the
company will require.
For the purpose of the business plan a pro forma balance sheet, income statement, ad cash
budget is prepared to have an in-depth analysis of the start-up.
Statement of pro forma comprehensive Income
FOR THE YEAR ENDED on 31ST MARCH 2018

Running Head: BUSINESS PLAN 3
Particulars Notes Amount
EXPENSES EXCLUDING LOSSESS
OPERATING EXPENSES
EMPLOYEE
RELATED 2a 1107300
PERSONNEL SERVICES 2b 1600
OTHER OPERATING
EXPENSES 2c 500768
MISC. EXPENSES 2d 6420
DEPRICIATION AND
AMORTISATION 2e 145600
TOTAL EXPENSES EXCLUDING LOSSES 1761688
REVENUE
SALE OF GOODS AND SERVICES 3a 2943040
INVESTMENT REVENUE 3b 6340
GRANTS AND CONTRIBUTIONS 3c 1236190
ACCEPTANCE BY CROWN
ENTITY OF EMPLOYEE BENEFITS AND
OTHER
LIABILITIES 3d 48450
OTHER REVENUE 6532
Total Revenue 4240552