Financial Segment

Financial Management Plan

Assumptions:
Financial plan is the most important part of a business plan. It is what that makes a business plan
successful. So, we have studied the market trends very well before designing this part of the
business plan. First, we start off with the plan for investing activities. This plan shows all our
investing activities to take place in the year 2023. It shows an estimated budget, which has been
designed according to market analysis, for each of the investments and the total estimated budget
for the plan as a whole. It also shows how much of the budget is to be financed by the bank and
how much is to be financed by the owners.

According to the investing plan, a total estimated budget of BDT 45,00,000 is to be invested for
the business. BDT 10,00,000 is to be financed by bank at 15% interest rate and the remaining
BDT 35,00,000 is to be financed by the owners. Each owner will finance BDT 5,00,000. A chart
of investing activities has been provided.
On the first year, we expect to sell 50,000 units per year and the average price per unit would be
BDT 100. That's how we have calculated the sales for the year 2024. We assumed a 15% growth
in sales in 2025, 20% growth in 2026.

The variable expenses include all the expense for supplies (fruits, vegetables, flowers, disposable
glass, and straws), telephone bills, and power & electricity bills, The fixed expense includes
salaries, rent, Internet expense, and water bills. Interest on debt has been calculated at a rate of
15%. As long as our venture would face losses, we would not have to pay any taxes. And when it
is required, a 10% corporate tax would be paid. The fixed costs for the first three years have been
calculated as follows :
Fixed Cost for One Financial Year :

14 months
Salaries BDT 1,08,000 BDT 15,12,000
(12months+2bonus)
Rent BDT 1,00,000 12months BDT 1,20,000
Internet BDT 1,500 12months BDT 18,000
Water BDT 1500 12months BDT 18,000
Total Fixed Cost BDT 16,68,000

Estimated budget distribution of investment :

Debt Equity
Unit Total
Financing Financing by
Item Quantity Cost Cost
by Bank Owner’s
(BDT) (BDT)
(BDT) (BDT)

1.Documentation

Bureaucratic Documentation 50,000 50,000

Agreement Papers 10,000 10,000

Estimated Budget 60,000 60,000

2. Space Setup & Decoration

Prepaid Rent 15month 1,00,000 15,00,000 15,00,000

Interior (floor, ceiling, furniture,

11,10,000 2,01,000 9,09,000
shelf, lighting etc.)

Telephone Connection (deposit &

1 5,000 5,000 5,000
connection charges)

Internet Connection (deposit &

1 2,500 2,500 2,500
connection charges)
Sign Board 1 50,000 50,000 50,000

Estimated Budget 26,67,500 2,01,000 24,66,500

3.Equipment(Imported)

Breville Juice Fountain Elite

2 22,000 44,000 44,000
800JEXL

Green Star 3000 Juicer 2 30,500 61,000 61,000

Black & Decker Citrus Mate 4 2,000 8,000 8,000

Black & Decker On Counter

Blender with Ice Dispenser 2 25,000 50,000 50,000
FX-150

Omega Programmable Juice

Dispenser with Blender 2 75,000 1,50,000 1,50,000
377X

Spare Parts 45,000 45,000

Packaging Charges 20,000 20,000

Loading & Insurance 42,000 42,000

Shipping (Bangkok to Dhaka) 80,000 80,000

Estimated Budget 5,00,000 5,00,000

3.Equipment(Domestic)

Refrigerator 2 55,000 1,10,000 1,10,000

Electronic Cash Counte 1 20,000 20,000 20,000

Digital Display Board 1 60,000 60,000 60,000

Computer 1 50,000 50,000 50,000

Music System 1 10,000 10,000 10,000

Estimated Budget 2,50,000 2,50,000

5. Apparatus

Glass (goblet) 100 120 12,000 12,000

Glass (schooner) 100 60 6,000 6,000

Glass (with handle) 100 80 8,000 8,000

Saucer 150 40 6,000 6,000

Tray 4 500 2,000 2,000

Other Cookeries 15,000 15,000

Estimated Budget 49,000 49,000

6.Recruiting & Training

Recruiting 15,000 15,000

Training 1,50,000 1,50,000

Probation Salary While Training

21,000 21,000
(60% & only for employees)

Estimated Budget 1,86,000 1,86,000

7.Advertisement

Newspaper Ads 50,000 50,000

Leaflets & Fliers 20,000 20,000

Estimated Budget 70,000 70,000

8.Working Capital

Estimated Budget 7,17,000 7,17,000

Total Estimated Budget (BDT) 45,00,000 10,00,000 35,00,000

The prepared rent shown in the plan is for 15months from October 2023 to December 2024. It
would be considered as our current asset for the coming years.
Break Even Analysis for Require Selling Unit :

Working-1 (Calculation of Total Depreciation Per year for

Estimated Investment on Assets)
Equipment 8,00,000
1,60,000
5
Apparatus 49,000
9,800
5
Interior 11,10,000
2,22,000
5
Total Estimated Depreciation per
3,91,800
year

Details BDT
Average Selling Price 100
Fixed Cost 1,68,000
10% interest on Debt 1,00,000
Variable Cost (45% of Selling Price) 45
Depreciation Per Year (from Working-1) 3,91,800

So,
(𝐅𝐢𝐱𝐞𝐝 𝐂𝐨𝐬𝐭+𝐃𝐞𝐩𝐫𝐞𝐜𝐢𝐚𝐭𝐢𝐨𝐧+𝐈𝐧𝐭𝐞𝐫𝐞𝐬𝐭)
Break Even Point =
(𝑷−𝑽)
(16,68,000+3,91,800+1,00,000)
=
(100−45)

= 39,254.8 or 39,255 Unit(approx.)