Revenues

Estimated revenues

Year 1
Year Year 2 Year 3
Operation programme 80% 100% 100%
Currency: EUR
Base case scenario 240,000 € 600,000 € 600,000 €
Best case scenario 264,000 € 660,000 € 726,000 €
Worst case scenario 223,200 € 558,000 € 518,940 €

* Base case scenario revenues will remain constant

* Best case scenario revenues will increase 10% each year
* Worst case scenario revenues will decrease 7% each year
** estimated income per month 50,000 € *12 MONTHS= 600 000Eur/year FOR BASE CASE

* Base case scenario from 240000(80%)to 600000(100%)the increase is 2.5,then the revenues remain constan
* Best case scenario 264000/240000=1,1;from 264000(80%)TO 660000 THE INCREASE IS 2.5 ,THEN THE INCREA
* Worst case scenario 223200/240000=0,93;from 223200(80%)TO 558000THE INCREASE IS 2,5,THEN THE DECRE
** estimated income per month 50,000 € *12months=600000/year

Page 1
 Revenues

Year 4 Year 5
100% 100%

600,000 € 600,000 €
798,600 € 878,460 €
482,614 € 448,831 €

0Eur/year FOR BASE CASE

2.5,then the revenues remain constant

THE INCREASE IS 2.5 ,THEN THE INCREASE IS 10% PER YEAR:EXAMPLE 660/600;726/660etc
0THE INCREASE IS 2,5,THEN THE DECREASE IS BY 7%,EXAMPLE:518940/558000=0,93;448831/482614=0,93
FOR BASE CASE

Page 2
 Annual operation cost estimate

Year 1
Year
(Q3 & Q4)
Operation programme 80%
Values (EUR)
1. Labour
Gross wage 60,000 €
variable Incentives, extras (bonuses, allowances) (V) 9,996 €
Surveillance (24h x 7 days) 1,320 €
variable Recruitement + HR (V) 16,800 €
variable 2. Annual staff training (V) 7,500 €
3. Utilities (electricity, water, gas, garbage services) 7,200 €
4. Building rent (EUR 6 per 1 sqm) 6,000 €
5. Romtelecom backup services (phone & internet ) 300 €
6. Other functions: IT, auditing, cleaning and security services 8,400 €
7. Bloomberg services 2,400 €
variable 8.Advertising 100,000 €
9.ASF tax (V) 3,000 €
Total operating costs (1+2+3+4+5+6+7+8) 222,916 €

Variable costs 37,296 €

Fixed costs 185,620 €
Year 2 Year 3 Year 4 Year 5
100% 100% 100% 100%

120,000 € 120,000 € 120,000 € 120,000 €

10,996 € 8,497 € 11,495 € 8,497 € 49,480 €
2,640 € 2,640 € 2,640 € 2,640 €
2,000 € 2,000 € 2,000 € 2,000 € 81,600 €
4,300 € 1,500 € 1,000 € 1,000 € 33,300 €
14,400 € 14,400 € 14,400 € 14,400 €
12,000 € 12,000 € 12,000 € 12,000 €
600 € 600 € 600 € 600 €
16,800 € 16,800 € 16,800 € 16,800 €
4,800 € 4,800 € 4,800 € 4,800 €
80,000 € 70,000 € 60,000 € 50,000 € 176,400 €
6,000 € 6,000 € 6,000 € 6,000 €
274,536 € 259,237 € 251,735 € 238,737 €

23,296 € 17,997 € 20,495 € 17,497 €

251,240 € 241,240 € 231,240 € 221,240 €
*+/- 10-15% each year

*+/- 10-15%
Net Income Statement - Best case scenario

Best Case
Year 1
Year
Operation programme
Currency: EUR
1. Revenues
2. Operating costs
3. Gross or taxable profit (1-2)
4. Corporate tax (16%)
5. Net profit (3-4)
Ratios
Gross profit margin (%)
Net profit margin (%)

Net Income Statement - Base case scenario

Base Case
Year 1
Year
Operation programme
Currency: EUR
1. Revenues
2. Operating costs
3. Gross or taxable profit (1-2)
4. Corporate tax (16%)
5. Net profit (3-4)
Ratios
Gross profit margin (%)
Net profit margin (%)

Net Income Statement - Worst case scenario

Worst Case
Year 1
Year
Operation programme
Currency: EUR
1. Revenues
2. Operating costs
3. Gross or taxable profit (1-2)
4. Corporate tax (16%)
5. Net profit (3-4)
 Ratios
Gross profit margin (%) -
Net profit margin (%) -
estimated income per month € 50,000

Start-up Full capacity

Year 1
Year 2 Year 3 Year 4 Year 5
(Q3 and Q4)
80% 100% 100% 100% 100%

264,000 € 660,000 € 726,000 € 798,600 € 878,460 € 3,327,060 €

222,916 € 274,536 € 259,237 € 251,735 € 238,737 €
41,084 € 385,464 € 466,763 € 546,865 € 639,723 €
6,573 € 61,674 € 74,682 € 87,498 € 102,356 €
34,511 € 323,790 € 392,081 € 459,367 € 537,367 €

16% 58% 64% 68% 73%

13% 49% 54% 58% 61%

Start-up Full capacity

Year 1
Year 2 Year 3 Year 4 Year 5
(Q3 and Q4)
80% 100% 100% 100% 100%

240,000 € 600,000 € 600,000 € 600,000 € 600,000 € 2,640,000 €

222,916 € 274,536 € 259,237 € 251,735 € 238,737 €
17,084 € 325,464 € 340,763 € 348,265 € 361,263 €
2,733 € 52,074 € 54,522 € 55,722 € 57,802 €
14,351 € 273,390 € 286,241 € 292,543 € 303,461 €

7% 54% 57% 58% 60%

6% 46% 48% 49% 51%

Start-up Full capacity

Year 1
Year 2 Year 3 Year 4 Year 5
(Q3 and Q4)
80% 100% 100% 100% 100%

223,200 € 558,000 € 518,940 € 482,614 € 448,831 € 2,231,585 €

222,916 € 274,536 € 259,237 € 251,735 € 238,737 €
284 € 283,464 € 259,703 € 230,879 € 210,094 €
45 € 45,354 € 41,552 € 36,941 € 33,615 €
239 € 238,110 € 218,151 € 193,939 € 176,479 €
0% 51% 50% 48% 47%
0% 43% 42% 40% 39%
Cash-flow table - Base case scenario

Year 1
Base Case Year 2
(Q1 & Q2) (Q3 & Q4)
Operation programme 0 80% 100%
Values (EUR)
A. Cash inflow
Revenues 0 240,000 600,000
B. Cash outflow 250,000 225,649 326,610
1. Total investment 250,000 0 0
2. Operating costs 0€ 222,916 € 274,536 €
3. Corporate tax (16%) 0€ 2,733 € 52,074 €
C. Net cash-flow (A-B) -250,000 14,351 273,390
D. Present value (at 7%) -250,000 14,351 255,504
E. Cumulative net cash-flow -250,000 -235,649 37,740

NOTE: Present value is calculat 7% discount rate

Net present value (NPV) 740,180 or DCF - inv= 990180-250 000

Net present value ratio NPVR (= 2.96

Profitability index (= TCFₐ/Iₐ ): 3.96

Payback period 1,86 years 1.86

08:41:12 PM
IRR 62%

ROI 92%

Cash-flow table - Best case scenario

Year 1
Best Case Year 2
(Q1 & Q2) (Q3 & Q4)
Operation programme 0 80% 100%
Values (EUR)
A. Cash inflow
Revenues 0 264,000 660,000
B. Cash outflow 250,000 229,489 336,210
1. Total investment 250,000 0 0
2. Operating costs 0€ 222,916 € 274,536 €
3. Corporate tax (16%) 0€ 6,573 € 61,674 €
C. Net cash-flow (A-B) -250,000 34,511 323,790
D. Present value (at 7%) -250,000 34,511 302,607
E. Cumulative net cash-flow -250,000 -215,489 108,300

Net present value (NPV) 1,214,511

Net present value ratio NPVR (= 4.86

Profitability index (= TCFₐ/Iₐ ): 5.86

Payback period 1,67 years 1.67

IRR 82%

ROI 137%

Cash-flow table - Worst case scenario

Year 1
Worst Case Year 2
(Q1 & Q2) (Q3 & Q4)
Operation programme 0 80% 100%
Values (EUR)
A. Cash inflow
Revenues 0 223,200 € 558,000
B. Cash outflow 250,000 222,961 319,890
1. Total investment 250,000 0 0
2. Operating costs 0€ 222,916 € 274,536 €
3. Corporate tax (16%) 0€ 45 € 45,354 €
C. Net cash-flow (A-B) -250,000 239 238,110
D. Present value (at 7%) -250,000 239 222,532
E. Cumulative net cash-flow -250,000 -249,761 -11,652

Net present value (NPV) 456,259

Net present value ratio NPVR (= 1.83

Profitability index (= TCFₐ/Iₐ ): 2.83

Payback period 2,05 years 2.05

IRR 46%

ROI 66%
 Year 3 Year 4 Year 5 Total
100% 100% 100%

600,000 600,000 600,000 2,640,000

313,759 307,457 296,539 1,720,015
0 0 0 250,000
259,237 € 251,735 € 238,737 € 1,247,161
54,522 € 55,722 € 57,802 € 222,854
286,241 292,543 303,461 919,985
250,014 238,802 231,509 740,180
323,981 616,524 919,985 919,985

NPV=DCF - INV 990,180 minus 250 000 = 740 180

years

Year 3 Year 4 Year 5 Total

100% 100% 100%

726,000 798,600 878,460 3,327,060

333,919 339,233 341,093 1,829,945
0 0 0 250,000
259,237 € 251,735 € 238,737 € 1,247,161
74,682 € 87,498 € 102,356 € 332,784
392,081 459,367 537,367 1,497,115
342,459 374,980 409,955 1,214,511
500,381 959,748 1,497,115 1,497,115
years

Year 3 Year 4 Year 5 Total

100% 100% 100%

518,940 482,614 448,831 2,231,585

300,789 288,676 272,352 1,654,669
0 0 0 250,000
259,237 € 251,735 € 238,737 € 1,247,161
41,552 € 36,941 € 33,615 € 157,508
218,151 193,939 176,479 576,917
190,541 158,312 134,635 456,259
206,499 400,437 576,917 576,917

years
 Base Best Worst
Net present value (NPV) 740,180 1,214,511 456,259

Net present value ratio NPVR 2.960718799737 4.85804563326 1.825035412074

Profitability index: 3.960718799737 5.85804563326 2.825035412074

Payback period 1,86 years 1,67 years 2,05 years

Internal Rate of Return 62% 82% 46%

Return On Investment 92% 137% 66%

Break-even point - Base case scenario

Base Case Start-up

Year 1
Year
(Q3 and Q4)
Operation programme 80%
Currency: EUR
1. Sales Q 240,000 €
2. Total operating costs 222,916 €
a. Variable costs V 37,296 €
b. Fixed costs F 185,620 €
3. Contribution margin Q-V 202,704 €
4. Contribution margin ratio (Q-V)/Q=1-V/Q 0.8446
5. Break-even point (EUR) F/(1-V/Q) 219,773 €
6. Position of the company to break-even point 8%
7. Break-even point (%) F/Q-V 92%
 Full capacity
Year 2 Year 3 Year 4 Year 5
100% 100% 100% 100%

600,000 € 600,000 € 600,000 € 600,000 €

274,536 € 259,237 € 251,735 € 238,737 €
23,296 € 17,997 € 20,495 € 17,497 €
251,240 € 241,240 € 231,240 € 221,240 €
576,704 € 582,003 € 579,505 € 582,503 €
0.9612 0.9700 0.9658 0.9708
261,389 € 248,700 € 239,418 € 227,886 €
56% 59% 60% 62%
44% 41% 40% 38%
Break-even point - Best case scenario

Best Case Start-up

Year 1
Year
(Q3 and Q4)
Operation programme 80%
1. Sales Q 264,000 €
2. Total operating costs 222,916 €
a. Variable costs V 37,296 €
b. Fixed costs F 185,620 €
3. Contribution margin Q-V 226,704 €
4. Contribution margin ratio (Q-V)/Q=1-V/Q 86%
5. Break-even point (EUR) F/(1-V/Q) 216,157 €
6. Position of the company to break-even point 18%
7. Break-even point (%) F/Q-V 82%
 Full capacity
Year 2 Year 3 Year 4 Year 5

100% 100% 100% 100%

660,000 € 726,000 € 798,600 € 878,460 €
274,536 € 259,237 € 251,735 € 238,737 €
23,296 € 17,997 € 20,495 € 17,497 €
251,240 € 241,240 € 231,240 € 221,240 €
636,704 € 708,003 € 778,105 € 860,963 €
96% 98% 97% 98%
260,432 € 247,372 € 237,331 € 225,736 €
61% 66% 70% 74%
39% 34% 30% 26%
Break-even point - Worst case scenario

Worst Case Start-up

Year 1
Year
(Q3 and Q4)
Operation programme 80%
Currency: EUR
1. Sales Q 223,200 €
2. Total operating costs 222,916 €
a. Variable costs V 37,296 €
b. Fixed costs F 185,620 €
3. Contribution margin Q-V 185,904 €
4. Contribution margin ratio (Q-V)/Q=1-V/Q 83%
5. Break-even point (EUR) F/(1-V/Q) 222,859 €
6. Position of the company to break-even point 0%
7. Break-even point (%) F/Q-V 100%
 Full capacity
Year 2 Year 3 Year 4 Year 5

100% 100% 100% 100%

558,000 € 518,940 € 482,614 € 448,831 €

274,536 € 259,237 € 251,735 € 238,737 €
23,296 € 17,997 € 20,495 € 17,497 €
251,240 € 241,240 € 231,240 € 221,240 €
534,704 € 500,943 € 462,119 € 431,334 €
96% 97% 96% 96%
262,186 € 249,907 € 241,496 € 230,215 €
53% 52% 50% 49%
47% 48% 50% 51%
Break-even
point (%) Base Best Worst
Year 1 92% 82% 100%
Year 2 44% 39% 47%
Year 3 41% 34% 48%
Year 4 40% 30% 50%
Year 5 38% 26% 51%