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writing first business plan

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  • writing first business plan

    I am going to try and buy the building I am in. I started my financials which you make pretty easy but amazing. I think I have my breakeven number done. Can you still explain it some more to me?

  • #2
    Saw this in moderation and will answer this quickly.

    As you keep adding figures to the master spreadsheet behind the scenes your breakeven point is being constantly calculated. You must be entirely done with entering and thereby projecting your total sales of grooming services and retail and any other services you may offer. Also you must be done entering all the costs as well including rent, supplies, labor costs for any staff, payroll taxes, the kit an caboodle of operating expenses. Unlike less sophisticated income and expense spreadsheets by groomers, we identify the NUMBER of grooming services as well. Every professional projection system of projecting income especially works in units of sales of whatever the business serves, grooms in our case, number of day care services, or number pet hotel units rented, etc.

    Because the Grooming Business in a Box has you use units of grooms (full and bath only), etc., it makes it very easy for you to estimate how many services (grooms) a month you must sell to meet the monthly costs of your business. The spreadsheet does all the calculations and the number you see for Breakeven Point, such as 44, is telling you the first 44 grooms of each month covers your business operating expenses, and the 45th groom and thereafter in part start building your personal income from the business for the rest of the month. This is for a sole proprietorship where you have not entered your personal salary in the projections. As a sole proprietor whatever is left over is your gross income before taxes. And now you know how many approximately you must groom in the month to cover your business expenses rather than just working with $$.

    If you groom 8 full grooms a day you now know that 4 1/2 days of your work covers business expenses. It's nice to have other ways of saying I must earn this much $_______ to cover expenses. Appointment books and software are all based on blocks of services so it is so fast rather than counting $ sometimes to simply know the number of services your goal is to meet expenses, and you know how a day you groom. Quick math. Many bankers looking at business plans look for this number by the way.

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    • #3
      How did it go whitedog?

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      • #4
        I did almost all of it so far. Drat. The building is no longer available.

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        • #5
          I may just have found another building. With the closing of 2 good sized businesses in the last 4 weeks I know more demand is coming too. So glad I did the plan.

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          • #6
            Go for it whitedog.

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            • #7
              How is it going whitedog.

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              • #8
                Hi 4them. Well I finished my business plan and got some assurance I can buy a building. The thing is, there is no building LOL. Both sold that I wanted. So I am just waiting for another good opportunity.

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                • #9
                  Well I am sure you will keep your eye out, and you will be ready. Good job writing it!

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                  • #10
                    How is the search going for a building?

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