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NOUPATEL

BUSINESS PLAN FOR THE EXTENSION OF THE COMPANY


NOUPATEL GROUP

CYRILLE NGNECHIE 1/7/2012

Contents
1. Executive Summary and review of past year .................................................................................. 3 1.1. 1.2. 1.3. 1.4. 1.5. 2. Company / Business Description ............................................................................................ 3 Objectives ............................................................................................................................... 3 Mission Statement ................................................................................................................... 4 Keys to Success....................................................................................................................... 4 Financial Highlights ................................................................................................................ 4

Analysis of the business environment. ............................................................................................ 5 2.1. 2.2. Company Ownership .............................................................................................................. 5 Company Locations and Facilities .......................................................................................... 6

3.

Services ........................................................................................................................................... 6 3.1. 3.2. Competitive Comparison ........................................................................................................ 6 Technology ............................................................................................................................. 6

4.

Market Analysis Summary.............................................................................................................. 6 4.1. 4.2. 4.3. Target Market Segment Strategy ............................................................................................ 6 The Market: Growth and Opportunities .................................................................................. 6 Market Segmentation .............................................................................................................. 7

5.

Marketing Strategy.......................................................................................................................... 7 5.1. 5.2. 5.3. 5.4. Pricing Strategy ....................................................................................................................... 8 Promotion Strategy ................................................................................................................. 8 Marketing Programs ................................................................................................................ 8 Competitive Edge.................................................................................................................... 8

6. 7.

Sales Forecast.................................................................................................................................. 9 Management Team.......................................................................................................................... 9 7.1. Personnel Plan ....................................................................................................................... 10

8.

Financial Plan................................................................................................................................ 10 8.1. 8.2. 8.3. 8.4. 8.5. 8.6. 8.7. Funding Requirements .......................................................................................................... 10 Important Assumptions ......................................................................................................... 11 Break-even Analysis ............................................................................................................. 11 Projected Profit and Loss ...................................................................................................... 11 Projected Cash Flow ............................................................................................................. 13 Projected Balance Sheet ........................................................................................................ 13 Business Ratios ..................................................................................................................... 14

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References ..................................................................................................................................... 15

1. Executive Summary and review of past year


This business plan has been prepared to introduce NOUPATEL and provide a comprehensive understanding of its business operations, its growth strategy and funding requirements necessary to achieve its expansion plan objectives.

1.1. Company / Business Description


The company is an existing corporation that was established in Yaound (Cameroon) in 2008 under the registered name of NOUPATEL Telecommunications and has been operating under the trade name NOUPATEL. The company is 50 percent owned by Brice FOPA and 50 percent by Cyrille FONKOU, its co-founders. NOUPATEL has rapidly become a well-established Internet and VoIP (Voice over IP) service provider serving customers in Douala, Yaound, and other future geographic locations, providing the following telecommunications services: Wholesale Long Distance Provider VoIP wholesale provider Telecom Infrastructure Equipment and Products Sales Internet solutions

Not just a reseller, NOUPATEL is a facility based telecommunications company that offers a high quality network through direct access, maintenance, and innovation of its infrastructure. It owns network equipment based on the needs of the customer and uses the latest technologies. Its versatility allows it to provide its customers with customized, cost effective, and reliable integrated solutions to meet their individual needs. NOUPATEL is a proactive and technologically oriented company that has the expertise and four years of successful operating experience to perform its operations efficiently and effectively by concentrating on its core activities while deploying the latest in IT and telecommunications technology. NOUPATEL has been gradually increasing its market share and level of operations, diversifying its services, and taking advantage of the changing telecom environment and the tremendous growth opportunities available in the regions it serves. Attracted by the huge potential of the telecom industry and based on its own business vision, NOUPATEL has developed a practical and realistic growth strategy by gradually expanding its services and spreading its wings into other regions of Cameroon.

1.2. Objectives
Implement an internet cafe and a VoIP sales point in the West and North West of Cameroon by September 1, 2004. Implement an extensive marketing campaign to introduce the new internet cafe and sales point. Achieve $0.5 million in sales revenues in West and North West part of Cameroon in 2013, $2 million in 2014, $5 million in 2015, $9 million in 2016 and $14 million in 2017.

1.3. Mission Statement


The mission of NOUPATEL is to continue providing customized telecommunications services to its current wholesale customer base in Cameroon while expanding into the VoIP and Internet market of Cameroon and central Africa.

1.4. Keys to Success


Maintain and build upon existing customer contacts and relationships. Continue to provide quality services at competitive prices. Expand level of services into new regions. Offer new services that complement existing services by implementing VoIP services to companies. Implement an aggressive marketing and promotional campaign for the VoIP roll out. Provide turnkey solutions and services. Stay abreast of the latest technological changes and market trends and apply appropriate strategies.

1.5. Financial Highlights


The following table summarizes the financial highlights of NOUPATEL for the last five years of its operating history. Past Financial Highlights: 2007 - 2011 2007 $382,523 $118,167 $ 12,977 $ 68,165 $ 54,799 $ 13,366 $ 68,165 2008 $1,693,530 $ 390,153 $ 32,454 $ 288,027 $ 251,191 $ 36,836 $ 288,027 2009 $1,368,870 $ 181,204 $ -238,243 $ 449,941 $ 650,799 $ -200,858 $ 449,941 2010 $7,359,944 $ 953,092 $ 195,906 $2,110,295 $2,119,814 $ -9,519 $2,110,295 2011 $7,365,306 $1,144,047 $ 83,396 $1,402,221 $1,328,344 $ 73,877 $1,402,221

Revenues Gross Profit Net Income Total Assets Liabilities Equity Total Liabilities & Equity

Past financial highlights


8000000 7000000 6000000 5000000 4000000 3000000 2000000 1000000 0 2008 2009 2010 2011 Revenue Gross Profit Net Income

The following table provides the financial projections highlights of NOUPATEL for the next five years, which include the proposed VoIP sales point and Internet cafe implementation project for West and North West part of Cameroon. Revenues are projected to reach $98.2 million by 2008, a 13.3-fold increase from actual revenues in 2011. Gross profit is projected to reach $59.2 million by 2008, a 52-fold increase from actual gross profit in 2011. Net income is projected to reach $44.7 million by 2008.

Projected Financial Highlights: 2012 2016 2012 $12,140,332 $3,304,722 $628,026 $12,811,895 $10,709,993 $2,101,903 $12,811,895 2013 $31,447,598 $17,384,287 $6,699,614 $31,879,741 $23,078,224 $8,801,517 $31,879,741 2014 $48,896,638 $30,001,613 $17,388,874 $44,221,737 $18,031,347 $26,190,391 $44,221,737 2015 $71,724,957 $44,245,182 $30,867,625 $69,514,048 $12,456,032 $57,058,016 $69,514,048 2016 $98,191,436 $59,200,768 $44,705,976 $102,117,352 $353,360 $101,763,992 $102,117,352

Revenues Gross Profit Net Income Total Assets Liabilities Equity Total Liabilities & Equity

100000000 90000000 80000000 70000000 60000000 50000000 40000000 30000000 20000000 10000000 0 2012 2013 2014 2015 2016 Revenue Gross Profit Net Income

2. Analysis of the business environment.


2.1. Company Ownership
The legal name of the company is NOUPATEL. The company was initially formed as a twice proprietorship by Brice Fopa and Cyrille Ngnechie. NOUPATEL was formed as a company committed to being on the cutting edge of VoIP communications services. NOUPATEL was capitalized with financing arranged through first round investors in the amount of $500,000. These funds were used for acquiring inventory, developing equipment and a complete product and service line, and creating supportive marketing materials. 5

2.2. Company Locations and Facilities


NOUPATEL leases its 500 square feet head office which has adequate office space to conduct its operations. At some point in the future, management expects to outgrow this office space. Additional office space will be sought at the appropriate time.

3. Services
NOUPATELs innovative product and service offerings provide the following advantages to customers. Implementation of VoIP services to different customers A full range of sleek, modern handsets to choose from. Internet cafe. Data capability. A full range of features. A big coverage network.

3.1. Competitive Comparison


NOUPATEL is well positioned as a significant player in the internet providing and VoIP wholesaler service marketplace. There are varying degrees of competition in each area, ranging from a great deal of perceived competition to the very minimal competition in satellite dishes.

3.2. Technology
NOUPATEL's business tools may be considered to be those assets that keep the business running smoothly. These tools include computers, software, business forms, standard agreements, various internal process standards, and other company-specific documentation.

4. Market Analysis Summary


4.1. Target Market Segment Strategy
NOUPATEL sources of revenue are derived from the sale of VoIP communications services to businesses and consumers, the exploitation of internets cafes, and the maintenance of telecommunications networks. In comparison to other start-up companies of recent years, NOUPATEL has done very well.

4.2. The Market: Growth and Opportunities


The needs of individuals and businesses for telecommunications and VoIP services have undoubtedly been growing at a phenomenal rate and continue to do so. This is particularly true in Africa where supply has significantly lagged overall demand. Technological change has created opportunities for market competition to replace existing telecommunications monopolies. The highlights of research analysis conducted can be summarized as follows:

There will be 288 million users of Voice-over-Internet Protocol (VoIP) by 2013, according to market research firm In-Stat. Worldwide total subscribers have increased from 30 million in 2007 to 122 million in 2011. VoIP services would turn into a $40 billion a year market by 2015 according to a new report from research firm Point Topic The number of African VoIP subscribers (mainly from companies) has increased from 14 million in 2011 to 149 million in 2011, representing an 87.25 fold increase over nine years and is continuing to increase due to its cheapest rate.

4.3. Market Segmentation


According to the Ministry of Posts and Telecommunications (MINPOSTEL) in Cameroon, industry investment grew to $6 billion in 2009, up over 41% from 2008. By 2014 there are expected to be about 3 million Cameroonian VoIP subscribers, and total revenue for the year of $1.758 billion, according to the MINPOSTEL. Table: Market Analysis
Market Analysis 2013 Potential Customers Specialty Business Users General Business Users Personnel UsersDouala and Yaound Total Growth 0% 0% 0% 0.00% 226,000 650,000 5,987,000 6,863,000 2014 226,000 650,000 5,987,000 6,863,000 2015 226,000 650,000 5,987,000 6,863,000 2016 226,000 650,000 5,987,000 6,863,000 2017 226,000 650,000 5,987,000 6,863,000 CAGR 0.00% 0.00% 0.00% 0.00%

5. Marketing Strategy
NOUPATEL developed its sales and marketing strategy by analyzing its own internal strengths and then analyzing current market conditions. This process helped NOUPATEL create its marketing and sales strategy to leverage its competitive advantages with a unique marketing strategy, thus establishing it as the nation's leading VoIP communications service provider for businesses and consumers. The company will create momentum through critical mass and brand recognition. NOUPATEL will monitor the effectiveness of its marketing efforts in order to determine the advertising return on investment and the commerce generated from the various channels. The overall marketing plan for NOUPATEL's service is based on the following fundamentals: 7 The segment of the market(s) planned to reach. Distribution channels planned to be used to reach market segments: retail outlets, sales representatives, and telemarketing. Share of the market expected to capture over a fixed period of time. Our year 2013 marketing goals include the following: Capture 100% market share of businesses in the West and North West market areas. Capture 100% market share of consumers in the West and North West market areas.

Capture 5% market share of consumers in Douala and Yaound market areas. Educate businesses and consumers about services provided. Position the company as the number one provider of solutions to VoIP communications. Make a major branding effort emphasizing NOUPATEL's name and array of services. Initiate new marketing program with a budget of $240,000. Create new collateral marketing materials (brochures, radio ads, and video). Media placements including magazine, TV, radio, Internet, print, and banner advertising. Expand product and service offerings. Provide sales reps with free demo systems.

5.1. Pricing Strategy


NOUPATELs retail prices are competitive and affordable for businesses. The company has also established a pricing and commissions structure for sales representatives and distributors. Bulk purchasing enables the company to reduce its cost of goods sold, increase revenue, and pass on the savings to businesses and consumers.

5.2. Promotion Strategy


NOUPATEL's overall goal is to generate additional retail traffic, increase the business and consumer base, and create more awareness to the need for this type of service in the marketplace. Currently, marketing efforts have revolved around sales representatives and telemarketing. During 2013, NOUPATEL's marketing goals also include positioning the company for co-branding alliances with several industry leaders. It is NOUPATELS belief that the best way to introduce its services to businesses as well as consumers is through aggressive telemarketing.

5.3. Marketing Programs


Advertising programs include direct response advertising, public relations program, co-marketing promotion, relationship building, direct sales efforts, telemarketing, trade shows, ads in print media and radio and television. NOUPATELS marketing propositions are designed to appeal to various target audiences, regardless of their level of sophistication. NOUPATEL will continually inform businesses and consumers through press releases and media placements about the service benefits as well as endorsements from other customers. As an extra incentive for customers and potential customers to remember NOUPATELS name, the company plans to distribute advertising specialties with the company logo. This will be an ongoing program for the company, when appropriate and where it is identified as beneficial.

5.4. Competitive Edge


Activities contributing to company success include identifying emerging trends and integrate them into NOUPATELS operations, respond quickly to technology changes/be there early, provide highquality services, continue to invest time and money in marketing and advertising, continue to expand into specialty markets, and stay ahead of the "technology curve."

Our future is highly dependent upon measuring resources we need in order to execute our plans and be competitive. Our method includes qualitative and/or quantitative measurements of competition and by estimating our own company growth, sales, and cash flows. Our resources are also measured in terms of people, equipment, financial, and critique to see if the resources fit are adequate for the situation. Resources are available as needed to meet the technology curve. In general our strengths include business management, accounting and finance, knowledge of the VoIP services industry, and experience in running successful businesses in the past.

6. Sales Forecast
The following table and chart illustrates the projected sales forecast of NOUPATEL in the West and the North West of Cameroon. Table: Sales Forecast
Sales Forecast Sales Personal User Sales Business User Sales Total Sales Direct Cost of Sales Personal User Sales Business User Sales Subtotal Direct Cost of Sales 2013 $1,734,283 $419,800 $2,154,083 2013 $728,399 $188,910 $917,309 2014 $4,800,000 $960,000 $5,760,000 2014 $2,030,400 $406,080 $2,436,480 2015 $8,000,000 $1,920,000 $9,920,000 2015 $3,400,000 $812,160 $4,212,160

Chart: Sales Monthly

7. Management Team
Cellular Providers has a world class management team with direct knowledge of the industry, extensive research experience, and unique administrative skills. Its team includes Brice FOPA, president; Cyrille FONKOU, vice president; and Thomas Pafe, an expert in Radio communications.

Together, they have a combined total of over 5 years experience in the VoIP and telecommunications industries and will coordinate the expansion of the company.

7.1. Personnel Plan


As the company will grow, future staffing needs require monthly evaluation. Factors determining future staffing include growth, demand on existing resources, future capabilities needed, and budgeting. In the future, NOUPATEL will require a highly qualified CFO, HR manager, additional customer service personnel, additional sales reps, and a public relations manager. Table: Personnel
Personnel Plan CEO CFO HR Manager Regional Manager Office Manager Marketing Staff Retail Staff #1 Retail Staff #2 Retail Staff #3 Retail Staff #4 Retail Staff #5 Retail Staff #6 Retail Staff #7 Other Personnel Total People Total Payroll 2013 $0 $60,000 $49,992 $45,000 $30,000 $69,000 $54,000 $34,500 $18,000 $0 $0 $0 $0 $31,166 10 $391,658 2014 $150,000 $95,000 $55,000 $50,000 $35,000 $150,000 $65,000 $65,000 $65,000 $65,000 $42,500 $30,000 $0 $84,000 16 $951,500 2015 $175,000 $110,000 $60,000 $55,000 $40,000 $250,000 $76,000 $76,000 $76,000 $76,000 $76,000 $76,000 $32,500 $112,000 22 $1,290,500

8. Financial Plan
The following sections outline the financial plan for NOUPATEL in the areas of its expansion.

8.1. Funding Requirements


NOUPATEL is seeking a total of $2.8 million in funding in order to implement its expansion plans for 10 internet cafe networks and VoIP sales point offices in the West and North West part of Cameroon. Due to the fact that infrastructure equipment costs have dropped significantly in the past three years by a factor of 10, NOUPATEL will be able to easily enter the market with a minimum capital investment as no one has implemented these solutions in this part of the country before. The project will be implemented in five (5) phases, starting with the first phase of funding consisting of $0.5 million on 12/1/2012. The term of each loan is 5 years at an assumed interest rate of 10%. The following table summarizes the use of funds and when required. Use of Funds Description Expansion Telecom Equipment Set-Up Remote Offices Sales & Marketing 12/1/2012 3/1/2013 $429,000 $25,000 $38,000 $429,000 $25,000 $18,000 5/1/2013 $129,000 $15,000 $0 8/1/2013 10/1/2013 Total $2,513,000 $75,000 $192,000

$1,229,000 $297,000 $10,000 $0 $136,000 $0

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Legal & Consulting $5,000 Fees Closing Costs $3,000 Total Expansion Costs $500,000

$1,000 $3,000 $476,000

$0 $0 $144,000

$8,000

$0

$14,000 $6,000 $2,800,000

$0 $0 $1,383,000 $297,000

8.2. Important Assumptions


Basic assumptions are presented in the table below. Corporate Tax: Figure is estimated at 30% of profits. Interest: Figure is estimated at 10% annually.

Table: General Assumptions


General Assumptions Plan Month Current Interest Rate Long-term Interest Rate Tax Rate Other 2013 1 10.00% 10.00% 0.00% 0 2014 2 10.00% 10.00% 30.00% 0 2015 3 10.00% 10.00% 30.00% 0

8.3. Break-even Analysis


The break-even analysis shows the monthly sales revenues needed to break even. Table: Break-even Analysis
Break-even Analysis Monthly Revenue Break-even Assumptions: Average Percent Variable Cost Estimated Monthly Fixed Cost $165,042 46% $89,122

8.4. Projected Profit and Loss


The financial projections present the company's expected financial position, results of operations and cash flow for the three years ending December 31, 2015. Accordingly, the forecast reflects its judgment as of June 4, 2012, the date of this forecast, of the expected conditions and its expected course of action. There will usually be differences between forecasted and actual results, because events and circumstances frequently do not occur as expected, and those differences may be material. Financial projections are based on sales volume at the levels described in the revenue section and presents, to the best of management's knowledge and belief, the company's expected assets, liabilities, capital, revenues, and expenses. Further, the projections reflect management's judgement of the expected conditions and its expected course of action given the hypothetical assumptions.

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Revenues are derived from sales of VoIP and internet services, products, and accessories to businesses and consumers. Annual Growth: We expect growth to increase by 200% per year on the basis that the company will be stepping up marketing and sales efforts, as well as initiating new partnerships and alliances that will foster growth and extensions of our existing markets. These strategies are aimed to build momentum and critical mass within the company and its overall sales results. Cost of Goods: Cellular Providers expects that its products will bear a reasonably high mark-up, which translates to a relatively low cost of goods. Our cost of goods includes consideration cost of products, shipping charges (which may be passed along to the consumer), and sales commissions. Marketing/Promotion: We group advertising, promotions, and retail outlet marketing under this category. Retail Outlets: We estimate that each retail location will cost $30,000 to set up and we anticipate opening up 10 new stores. Other: We estimate that we may need additional funds for other promotions and this is set aside in a special fund. Rent: It is assumed that rent will be an average $1,500 per month per store. Repairs and Maintenance: This is an estimated figure which is expected to grow with the setup of service centres. Salary: Figures are estimated based on the national average for similar positions. They assume however, the hiring of a store manager, a regional manager, a CFO, an HR manager, and acquiring the services of a marketing company. Utilities: Figures are estimated. Management estimates that utilities will be at $800 per month per store. Table: Profit and Loss
Pro Forma Profit and Loss Sales Direct Cost of Sales Other Total Cost of Sales Gross Margin Gross Margin % Expenses Payroll Marketing/Promotion Depreciation Store Set Up Costs Repairs and Maintenance Utilities Insurance Rent Payroll Taxes Legal/Consultants Inventory Control systems 2013 $2,154,083 $917,309 $0 $917,309 $1,236,774 57.42% $391,658 $473,712 $4,992 $90,000 $6,000 $22,400 $21,600 $42,000 $58,749 $6,000 $20,000 2014 $5,760,000 $2,436,480 $0 $2,436,480 $3,323,520 57.70% $951,500 $917,200 $5,000 $60,000 $6,000 $57,600 $50,000 $78,000 $142,725 $6,000 $0 2015 $9,920,000 $4,212,160 $0 $4,212,160 $5,707,840 57.54% $1,310,500 $1,476,200 $5,000 $90,000 $6,000 $76,800 $66,000 $134,000 $196,575 $6,000 $0

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Total Operating Expenses Profit Before Interest and Taxes EBITDA Interest Expense Taxes Incurred Net Profit Net Profit/Sales

$1,137,111 $99,663 $104,655 $166,180 $0 ($66,517) -3.09%

$2,274,025 $1,049,495 $1,054,495 $142,460 $272,111 $634,925 11.02%

$3,367,075 $2,340,765 $2,345,765 $99,140 $672,488 $1,569,138 15.82%

8.5. Projected Cash Flow


The following table and chart shows the projected cash flow of Cellular Providers. Table: Cash Flow
Pro Forma Cash Flow 2013 Cash Received Cash from Operations Cash Sales Cash from Receivables Subtotal Cash from Operations Additional Cash Received Sales Tax, VAT, HST/GST Received New Current Borrowing New Other Liabilities (interest-free) New Long-term Liabilities Sales of Other Current Assets Sales of Long-term Assets New Investment Received Subtotal Cash Received Expenditures Expenditures from Operations Cash Spending Bill Payments Subtotal Spent on Operations Additional Cash Spent Sales Tax, VAT, HST/GST Paid Out Principal Repayment of Current Borrowing Other Liabilities Principal Repayment Long-term Liabilities Principal Repayment Purchase Other Current Assets Purchase Long-term Assets Dividends Subtotal Cash Spent Net Cash Flow Cash Balance $1,550,940 $658,468 $2,209,408 $0 $100,000 $0 $0 $0 $0 $0 $2,309,408 2000 $391,658 $1,702,342 $2,094,000 $0 $33,600 $0 $125,000 $37,000 $0 $0 $2,289,600 $19,808 $194,808 $4,147,200 $1,406,261 $5,553,461 $0 $0 $0 $0 $0 $0 $0 $5,553,461 2001 $951,500 $4,215,061 $5,166,561 $0 $33,600 $0 $300,000 $50,000 $0 $0 $5,550,161 $3,300 $198,108 $7,142,400 $2,539,325 $9,681,725 $0 $0 $0 $0 $0 $0 $0 $9,681,725 2002 $1,310,500 $7,014,849 $8,325,349 $0 $32,800 $0 $500,000 $100,000 $0 $0 $8,958,149 $723,575 $921,683 2014 2015

8.6. Projected Balance Sheet


The following table is the projected balance sheet. 13

Table: Balance Sheet


Pro Forma Balance Sheet 2013 Assets Current Assets Cash Accounts Receivable Inventory Other Current Assets Total Current Assets Long-term Assets Long-term Assets Accumulated Depreciation Total Long-term Assets Total Assets Liabilities and Capital Current Liabilities Accounts Payable Current Borrowing Other Current Liabilities Subtotal Current Liabilities Long-term Liabilities Total Liabilities Paid-in Capital Retained Earnings Earnings Total Capital Total Liabilities and Capital Net Worth $194,808 $123,381 $112,462 $40,000 $470,651 $50,000 $4,992 $45,008 $515,659 2013 $218,167 $66,400 $0 $284,567 $1,525,000 $1,809,567 $0 ($1,227,391) ($66,517) ($1,293,908) $515,659 ($1,293,908) $198,108 $329,920 $298,712 $90,000 $916,739 $50,000 $9,992 $40,008 $956,747 2014 $357,931 $32,800 $0 $390,731 $1,225,000 $1,615,731 $0 ($1,293,908) $634,925 ($658,983) $956,747 ($658,983) $921,683 $568,195 $516,410 $190,000 $2,196,288 $50,000 $14,992 $35,008 $2,231,296 2015 $596,142 $0 $0 $596,142 $725,000 $1,321,142 $0 ($658,983) $1,569,138 $910,154 $2,231,296 $910,154 2014 2015

8.7. Business Ratios


Cellular Providers is a company that is seeking to grow rapidly in order to seize market share in a dynamic industry. As the company is, on average, in the high growth phase of the product life cycle for its telecommunications products, the company is experiencing higher leverage of its assets and a lower ROA than the industry standard. Table: Ratios
Ratio Analysis Sales Growth Percent of Total Assets Accounts Receivable Inventory Other Current Assets Total Current Assets Long-term Assets Total Assets Current Liabilities Long-term Liabilities Total Liabilities Net Worth 2013 141.08% 23.93% 21.81% 7.76% 91.27% 8.73% 100.00% 55.19% 295.74% 350.92% -250.92% 2014 167.40% 34.48% 31.22% 9.41% 95.82% 4.18% 100.00% 40.84% 128.04% 168.88% -68.88% 2015 72.22% 25.46% 23.14% 8.52% 98.43% 1.57% 100.00% 26.72% 32.49% 59.21% 40.79% Industry Profile 4.80% 14.30% 2.50% 46.50% 63.30% 36.70% 100.00% 43.60% 26.30% 69.90% 30.10%

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Percent of Sales Sales Gross Margin Selling, General & Administrative Expenses Advertising Expenses Profit Before Interest and Taxes Main Ratios Current Quick Total Debt to Total Assets Pre-tax Return on Net Worth Pre-tax Return on Assets Additional Ratios Net Profit Margin Return on Equity Activity Ratios Accounts Receivable Turnover Collection Days Inventory Turnover Accounts Payable Turnover Payment Days Total Asset Turnover Debt Ratios Debt to Net Worth Current Liab. to Liab. Liquidity Ratios Net Working Capital Interest Coverage Additional Ratios Assets to Sales Current Debt/Total Assets Acid Test Sales/Net Worth Dividend Payout

100.00% 57.42% 58.41% 10.00% 4.63% 1.65 1.26 350.92% 5.14% -12.90% 2000 -3.09% 0.00% 4.89 61 10.91 8.72 27 4.18 0.00 0.16 $186,084 0.60 0.24 55% 0.83 0.00 0.00

100.00% 57.70% 45.60% 10.00% 18.22% 2.35 1.58 168.88% -137.64% 94.80% 2001 11.02% 0.00% 4.89 51 11.85 12.17 24 6.02 0.00 0.24 $526,009 7.37 0.17 41% 0.74 0.00 0.00

100.00% 57.54% 40.45% 10.00% 23.60% 3.68 2.82 59.21% 246.29% 100.46% 2002 15.82% 172.40% 4.89 59 10.34 12.17 24 4.45 1.45 0.45 $1,600,146 23.61 0.22 27% 1.86 10.90 0.00

100.00% 57.80% 35.50% 1.00% 1.90% 1.17 0.95 69.90% 4.20% 14.00% n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a n.a

9. References
Nel, W.P. (ed.), 2nd ed., 2006. Management for engineers, technologists and scientists. Cape Town: Juta. Graham Friend, Stefam Z. , 2nd ed ,Guide To Business Planning (Economist) www.bplans.com/

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