Childcare Business Plan Case Study

About the subject

Challenges and Objectives

  1. How much would cost setting up a child care business
  2. When would be reached the breakeven point
  3. How much would be the running cost and how to track them
  4. How many children could look after a teacher
  5. Forecasting salaries and wages for the employees
  6. How long would take to return the initial investment
  7. Counting for seasonality summer vs the rest of the year

How Particular Business Plan/Financial Model (Product) Helped

  • An estimate of the monthly growth projection by years
  • Financial statements Summary
  • Debt assumptions for up to three debts and one grant
  • Revenue forecast by product groups and operating COGS by groups categories
  • An estimate of the fixed, variable and development cost
  • Calculate the business capital expenses
  • Calculations of personnel salaries

Result

  • A glance of the Financial Statement Summary and therefore enabling a better understanding of the Income Statement, Cash Flow, and Balance Sheet
  • Core financials, cash flow data, revenue breakdown, profitability forecasts, and cumulative cash flow
  • Schedule of the Loan’s repayments taken for the additional investment
  • Top revenue where the client could see how much income each product category generates
  • Top expenses where it was displaced the four most significant expense categories and the rest of the costs as the “other.”
  • An estimate of the company’s value based on the Discounted Cash Flow method
  • Visualization and tracking the key financial figures and key performance indicators in the form of charts
  • A comparison of performance indicators in the model and the industry

Supporting Visuals

  • Currency, denominator & tax — where inputs for such metrics live
  • Debt assumptions — that has the flexibility to input three types of debts and a grant
  • Core inputs
  • Core financial forecast for the next five years, starting from revenue and then slowly accounting for all the expenses and finally reaching the estimate of cash
  • A breakdown of operating cash flow, investing cash flow and financing cash flow for the next five years
  • Revenue breakdown by category of products for the next five years
  • Profitability trend for the next five years in comparison with revenue, and EBITDA

Top Revenue & Expenses

Key Performance Indicators

Future Plans

Call to Action (CTA)

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