FINANCIAL PLAN / STRATEGY / ANALYSIS

1.1 Project implementation cost schedule

The implementation of this project consists of providing products and

conducting activities with the objective of monitoring progress as compared to the
work plan. Monitoring can be defined as a project implementation control to maintain
project continuity and achieve the final result of the project. Project managers are
responsible for periodic monitoring of projects, but partner organizations must
actively contribute to the effective monitoring of projects.

The association as a whole can benefit by monitoring the progress of the project:
 It supports the implementation of the project and is an indicator of
whether the objective has been achieved.
 Through feedback activities, we encourage improvement of project
results based on the observation of the value and quality of various
elements of the project.
 Provide reliability and reliability of the results.
 Especially when corrective action is necessary, we anticipate potential
problems and simplify decision making.

PROJECT COST
Particular Amount ( RM )

Land Owned

Building Owned

Machinery 350 000.00

Working Capital 200 000.00

Total 520 000.00

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 COST OF PRODUCTION AND PROFITABILITY ANALYSIS

Particulars 1st Year

No. of working days 300

No. of shifts 1

Installed Capacity 2 774 000.00

Capacity Utilization 60%

Production 2 038 800.00

Sales 2 038 800.00

Cost of Production

Raw Materials 965 000.00

Salaries 40 000.00

Wages 286 000.00

Power Charges 32 400.00

Repairs & Maintenance 6 000.00

Insurance 3 300.00

Depreciation 28 000.00

Total 1 342 700.00

Gross Operating Profit 696 100.00

Administrative & Selling Expenses 60 540.00

Financial Expenses

1. Interest on Term loan 36 700.00

2. Interest on WC loan 23 650.00

Total 120 890.00

Net Operating Profit 482 200.00

Income Tax 14 000.00

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Net Profit 468 320.00

Withdrawals 100 100.00

Add Depreciation 34 500.00

Cash Surplus 405 300.00

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1.2 Schedule of financial sources

Financing is necessary to start business and improve profitability. There are

several sources to consider when considering initial funding. But first, you need to
consider the amount you need and the time you need it.

The company's financial needs vary according to the type and scale of the
company. For example, processing companies are usually capital intensive and
require large amounts of capital. Retailers typically require less capital.

Debt and capital are the two main sources of financing. Government subsidies
to finance certain aspects of a company may be an option. In addition, incentives for
residing in specific communities and promoting activities in specific industries may be
available.

Equity Contributions RM RM

Cash 27 500

Assets (Land & Building) 45 000 72 500

External Sources

Hire Purchase 20 000

Term Loan 45 000 65 000

Other Sources

Total Sources Of Financing 137 500

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1.3 Fixed assets depreciation table

In accounting terms, we recommend that you do not desire to depreciate as

the value of an asset will be zero

Depreciation is to be allocated to the fixed assets of fixed assets portfolio fixed

income generated by fixed assets Here we estimate wage income agreed It is
mandatory under misleading principle is unnecessary. This helps to become a
complete figure of revenue generation transactions.

Assets Value- Depreciation Depreciation Assets Value-

Start Of Year Rate Total For Year End Of Year

1st Year 10 000 20% 2 000 8 000

2nd Year 8 000 20% 1 600 6 400

3rd Year 6 400 20% 1 280 5 120

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1.4 Loan amortization schedule

It is loaned out at an agreed interest rate during a certain period. This is the
source of medium- and long-term financing.

Financial Expenses

1. Interest on Term Loan 36 700

2. Interest WC Loan 23 650

3. Bank Loan 251 000

Total Amount Loan 311 350

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1.5 Hire purchase repayments schedule

With this method, companies can acquire assets without having to pay large
amounts in advance. This includes payment of the first deposit and periodic payment
over a period of time. The main difference between buying and installing instalment
payments is that the company owns assets after all instalments have been refunded.
This is a medium-term funding source.

Position Required Salary Per Month Salary Per Annum

Production Staff

Manager 2 3 000 72 000

Counter Staff 2 1 100 26 400

Production Bakers 2 2 100 50 400

Kitchen Help 1 1 600 19 200

Specialized Skills 1 2 800 33 600

Total 8 201 600

Administrative Salaries

Sales girl 2 2 000 48 000

Office staffs 3 2 200 79 200

Guard 1 1 100 13 200

Promoters Contribution 2 2 500 60 000

Total 14 200 400

1.6 Pro forma cash flow statements

Pro forma cash flow statements are predicted financial statements that reflect
current sales and cost estimates. It is useful to plan the operation of the company
and predict future financial condition. For example, the pro forma income statement
of the following year summarizes the company's performance if we comply with
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current sales plans and expenditure forecasts. Next year's pro forma balance
summarizes the company's expected financial condition at the time.

1st Year 2nd Year 3rd Year

Opening Balance 15 000 30 500 39 850

Cash Received

Cash Sales 20 000 23 000 20 000

Credit Sales 178 000 175 000 178 000

Interest 2 000 2 500 2 000

Sundries 1 000 900 1 100

Total Cash Received 201 000 201 400 201 100

Cash Purchased

Stock Purchased 6 000 12 000 10 000

Trade Creditors 10 000 12 000 13 000

Other Creditors 3 000 3 500 6 000

Operating Costs 3 500 3 500 3 500

Capital 900 2 000 2 000

Other 50 0 1 400

Total Cash Payments 23 450 33 000 35 900

Cash Increase/Decrease 177 550 168 400 165 200

Closing Balance 192 550 198 900 205 050

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1.7 Pro forma Income statements

Pro Forma Financial income, when excluding certain nonrecurring items,

describes financial statements with hypothetical amounts or estimates embedded in
the data to provide an "image" of the company's interests. Pro forma revenue is not
calculated using standard GAAP, but usually excludes temporary expenses not
included in normal business operations, such as business restructuring costs after
merger. These costs can be correctly displayed as one-time items that do not
contribute to the company's representative evaluation.

Essentially, the pro forma financial statements can exclude what is believed to
hide the accuracy of the financial prospects and will be useful information to help
evaluate the company's future prospects. All investors need to emphasize the net
profit of GAAP. This is a "public" profitability determined by the accountant, but it is
also helpful to look at profitable earnings.

1st Year 2nd Year 3rd Year

Potential Unit Sales 450 500 550

Average Price Per Unit 5.50 5.50 5.50

Potential Sales (Turn Over) 2 520 2 800 3 080

Unit Costs (Manufacturing) 2.10 2.10 2.10

Cost Of Sales 945 1 050 1 155

Gross Profit 1 575 1 750 1 950

Operating Costs 1000 1 000 1 000

Net Profit Before Tax 575 750 925

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1.8 Pro forma balance sheet

The pro forma balance is similar to the past balance, but it represents the
future forecast. Estimated balances are used to predict how to manage assets in the
future.

Assets

Current Assets 10 9950

Cash 50 400

Inventory 10 450

Account Receivable 47 900

Provision for Income Tax 1 200

Fixed Assets 279 600

Machine 60 000

Equipment 95 000

Vehicle 85 000

Trademark 19 800

Goodwill 19 800

Total Assets 389 550

Liabilities and Equity

Current Liabilities 40 500

Account Payable (Income Tax) 23 700

Creditors 16 800

Long-Term Liabilities 349 050

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Bank Loan 251 000

Vehicle 88 050

Total Liabilities and Owner Equity 389 550

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