How to Write a Business Plan

ChApter 7 | YOUR CASH FLOW FORECAST AND CAPITAL SPENDING PLAN | 127

Cash Flow Forecast: Year One (^) Date Completed: 1/25/xx
for Antoinette’s Dress Shop
Cash In/(Out)
Month 1 2 3 4 5 6 7 8 9 10 11 12 Year Total
Mar Apr May Jun Jul Aug Sept Oct Nov Dec Jan Feb

1. Profi t/(Loss) [P & L line 6] $ (50) $ 1,450 $ 5,950 $ 2,950 $ 1,450 $ 1,450 $ 4,450 $ 4,450 $ 5,950 $ 8,950 $ (1,550) $ (50) $ 35,400

2.Less: Credit Sales— % on credit

× Sales Revenue [P & L line 1] ( 7,500) ( 8,450) ( 11,250) ( 9,375) ( 8,450) ( 8,450) (10,300) (10,300) ( 11,250) ( 13,125) ( 6,550) ( 7,500) ( 112,500)

3.Plus: Collec tions of Credit Sales

months after sale^0 0 7,500 8,450 11,250 9,375 8,450 8,450 10,300 10,300 11,250 13,125 98,450

4.Plus: Credit Purchases— % of

purchases on credit × Cost of Sales

[P & L line 2] 9,000 10,150 13,500 11,250 10,150 10,150 12,350 12,350 13,500 15,750 7,850 9,000 135,000

5.Less: Payments for Credit Purchases

months after purchase (^0 ) (^0 ) ( 9,000) ( 10,150) ( 13,500) ( 11,250) ( 10,150) ( 10,150) ( 12,350) ( 12,350) ( 13,500) ( 15,750) ( 118,150)

6.Plus: Withholding % of total

wages (if paying taxes quarterly) 0 0 0 0 0 0 0 0 0 0 0 0 0

7.Less: Quarterly withholding

payments (if paying taxes quarterly) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 )

8.Plus: Depreciation 0 0 0 0 0 0 0 0 0 0 0 0 0

9.Less: Principal Payments ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 )

10.Less: Extra Purchases ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 ) ( 0 )

11.Other Cash Items in/(out) 0 0 0 0 0 0 0 0 0 0 0 0 0

12.Monthly Net Cash 1,450 3,150 6,700 3,125 900 1,275 4,800 4,800 6,150 9,525 (2,500) (1,175) $ 38,200

13.Cumulative Net Cash $ 1,450 $ 4,600 $ 11,300 $ 14,425 $ 15,325 $ 16,600 $ 21,400 $ 26,200 $ 32,350 $ 41,875 $ 39,375 $ 38,200