We are going to begin our financial section and will build it over the next 3weeks. Please see the following example and know we are only starting with the very top section only where it is labeled revenue:
This is the overall plan:
Below is the only part due this week along with detailed assumption on how you got to the numbers:
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We are only doing a twelve-month projection and no other balance sheet or cash flow documents.
Assumptions
Assumptions are a way we can plan for an unknown future. I like to say that sometimes “We don’t know what we don’t know” for all aspects of business planning and entrepreneurship. For this sales/revenue section good assumptions would include the following:
How did you get to the first month’s units? (This is usually the hardest and needs to be backed up with market size and you marketing plan.)
What growth assumptions did you make for the next month’s projections? Grow 20% per month?
Adjustments for seasons that may be busier or slower? By 30% up or down?
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