"LEARNING SYSTEMS, INC
BUSINESS PLAN"
1. Executive Summary
Learning Systems Inc. (LSI) is the largest online educational provider on complementary alternative medicine (“CAM”) and Bible content.
Its rich market niche, characterized by corporate clients with large budgets, significant training needs and receptiveness to new technology, include Healthcare Providers, Academic institutions, Multilevel Network Marketing and Manufacturing Companies, Alternative Health Industries, Christian Seminaries and Clergy.
LSI delivers its unique CAM content via Internet-based courses on CLEGA University™, its full-service, centrally hosted, scalable remote proprietary virtual campus.
Its leadership position is based upon one of the largest CAM and Bible content library ever assembled. Developed by the Founders over a period of 22 years of research, the library includes over 180,000 proprietary abstracts, 704 disease monographs, 71 trace mineral and 22 amino acid monographs, 500
Nutritional/Herbal Therapeutic Remedy Monographs and 1100 Bible study courses. Founders themselves collectively have over 54 years experience in creating courses and books for the CAM market.
Modern technology has made possible to gather and present this information economically and efficiently and LSI is leading the effort to marry technology and information dissemination through three strategic technology alliances which allow to register, enroll, teach, test, grade and certify distance learners in a seamless fashion.
LSI is focusing its resources in the CAM and Bible e-learning business. E-learning is in fact the fastest- growing and most promising market in the education industry and corporate e-learning is expected to top $7 billion by 2002, according to WR Hambrecht & Co..
By continuously developing and expanding its CAM and Bible database, relentlessly streamlining the
process of delivering content and widening the range and variety of its e-learning educational products, LSI intends to maintain and strengthen its leadership position in this lucrative market niche while creating significant B2B and e-commerce opportunities.
Exploiting the latter to their fullest potential is a natural evolution for LSI: “E-Train-the Trainer” revenues, portal development revenues, e-mail marketing fees , royalty/commissions on sales (vitamins, herbs, skin care products, DVDs & video, magazines, newsletters, religious books) will provide a significant complementary revenue stream for the company that will increase market share, promote name recognition, and maximize efficiency.
1.1. Objectives
1.1.1. E-learning courses tuition revenues: $36 million in 2002, $60 million in 2003, $105 million in 2004, corresponding, respectively, to an average of 6000 , 10,000, 17,000 clients paying at least $ 500 dollars per month for 12 months.
1.1.2. Valuation, as measured in ability to bring in additional investment at economically feasible valuations. LSI needs to attract $3 million immediately, and an additional $3 million in a follow-up second round in 2002, with valuation performance that yields attractive internal rate of return (IRR) to investors. The financial section indicates IRR of more than 150%.
1.1.3. Acquisition or Initial public offering (IPO) in 2004, with a valuation of about $35 million. This assumes of course the market valuations based on LSI’s sales and earnings, which have been kept purposely conservative as this plan is written.
1.2.Mission
LSI offers CAM and Bible online courses in its full-service, centrally hosted, scalable, remote proprietary virtual campus. It generates e-learning tuition revenues, content licensing, email marketing, e-commerce, valuation for investors and profits. It is the largest online educational provider on complementary alternative medicine (“CAM”) and Bible content.
1.3.Keys to Success
1.3.1. LSI must be able to acquire and retain corporate customers by providing e-learning solutions designed to address their strategic business training objectives, while significantly reducing their learning infrastructure costs.
1.3.2. The online e-learning tools must be easy to use and fully interactive. User satisfaction and measurable results are ultimate priorities.
1.3.3. LSI will succeed if it can capitalize on its leadership position in CAM and Bible content know-how, turning it into e-learning courses and dollars through CLEGA University ‘s virtual campus.
1.3.4. The sales process must be easy to administer and flexible enough to accommodate the needs of LSI to keep a very lean organization. The e-learning courses offered on its CLEGA University ‘s virtual campus should further establish LSI presence as an e-learning technology leader in its market niche, not only retaining customers but actually bringing in new customers.
2.Company Summary
The present LSI is the successor to WA Online, Inc.(traded as XXXX on OTCBB) , a Delaware company with offices in East Clinton Ave., XXX, CA XXXX, USA), that succeeded a Nevada Corporation previously called Sontech. XXXX owns all the intellectual property described so far through fully owned subsidiaries: Enhancement Systems Inc., a Wyoming Corporation, I Systems Inc. , a Texas Corporation and Psi Investments, Inc. a Texas Corporation.
LSI offers complementary alternative medicine (“CAM”) and Bible online courses in its full-service, centrally hosted, scalable, remote proprietary virtual campus. It is the largest online educational provider on CAM and Bible content.
LSI has a total of 33 million shares outstanding. Its ownership structure is as follows:
- 50% Founder 15.4 million shares
- 20% Japanese VCs 6.6 million shares
- 30% 918 Current Shareholders 17.0 million shares
The company, currently traded as WA Online, Inc. on the Pink Sheets, has 918 shareholders owning publicly traded stock. Prior to completion of this venture round, the following events will take place:
- the Founder will retire all publicly traded stock and take the company private
- bylaws will be amended to increase the number of shares to 40, and the shareholder composition will be the following:
- Founder : 20 million shares
- Japanese VCs 4 million shares
- Total 24 million shares
Of the remaining shares, 6 million will be used for this offering , the 2° round offering and employees stock options, while 10 million will be reserved for a future IPO.
2.1.First Year Budget Summary
- Capital Expenditures
|
1,110
|
- Participations
|
2,100
|
- Human Resources
|
925
|
- Research & Development
|
300
|
- Sales & marketing
|
1,600
|
- General & Adm
|
512
|
- Total Budget
|
6,547
|
Our first year’s budget come to $6.5 million because of our commitment to dominate our market niche.
Of the $6.5 million, $2.1 million are earmarked for an acquisition. This is an extraordinary item that may or may not occur, and hence can be delayed or cancelled.
Of the remaining $4.4 million in the budget for the first year completion, the most significant expenditures are in Sales and Marketing. Marketing expenses are necessary to promote our business and make this company a success. We plan to invest $ 1.5 million in S&M activities over the next 12 months to firmly entrench our brand and to reach our sales objective of at least 6000 course sales per month at an average price of $500.
Capital expenditure, at $1.1 million, are also significant and are aimed, with almost an even split for 85% of the total, at significantly improving our web platform on one hand and at widening our course products range, on the other. The remainder is targeted for leasehold improvements, patent fling and other small material and immaterial assets expenses/purchases.
Our human resources costs also seem high, at $ 925,000, in relation to the overall number of employees (6 in 2002) that the company has. However such figure includes all the human resources available to the Company, including the world class Scientific Advisory Board that we plan to set up, and compensation for the management team and the non-executive Directors.
Our development costs and overheads, at $812,000 are relatively low thanks the strong focus on technology and third party sourcing.
Our location in Parlier, California leverages our partnering potential, even though we could find facilities in other states at more convenient rates.
2.2.Company Locations and Facilities
The company has its corporate and main operating office in Parlier, California. Its important web sites and Internet infrastructure situation is explained in detail in Chapter 5. The main web site is at www.XXXXXX.com.
3.Products
LSI offers a steadily increasing mix of three lines of CAM and Bible content products:
3.1. E-learning private label course products:
LSI develops and deploys on a remotely hosted Internet distribution platform - its CLEGA University ‘s virtual campus - private labeled courses in four unique vertical markets that it dominates thanks to its CAM and Bible content library:
-Alternative Medicine Courseware,
-Healthcare Professionals,
-Health Care Institutions and
-Bible/Theology markets.
In joint venture with academic and corporate partners, it has the ability to create proprietary academic and training courses and/or accredited courses in days instead of months and deliver revenue sharing marketing partnerships, with a revenue stream in under two weeks.
This generates revenues for its “partner – clients”, helps it penetrate the market and creates barriers to entry.
1.2.“E-Train-the-Trainer™” sub-licensee:
LSI develops and deploys training courses for on-site and seminar training conducted by regional sublicenses affiliates (HealthCare Professionals and Clergy licensee’s).
1.3.Other Products
Other Product revenues are derived from:
- development revenues for developing custom Portals based on its unique CAM and
Bible content;
- sale of computer-based training ("CBT") courses delivered through traditional CBT
format (e.g. CD-ROM – DVD) specially through Christian Missions with mass deployment programs;
- E-mail Marketing : a 0.20 $US is charged per valid email address in email marketing campaigns done on behalf of clients.
1.4.Product Description
LSI develops, manages and hosts Internet-based training and education for corporations, government agencies and academic institutions. The Company offers its online courseware primarily through its proprietary virtual campus product, or CLEGA University™, a full-service, centrally hosted, scalable distance education platform. It allows for the registration, enrollment, teaching, testing, grading and certification of distance learners.
CLEGA University is accessible by virtually any Internet-ready PC. Enrolled students can access the courseware online, typically via a PC connected to the Internet or a corporate intranet. Once a student has completed a course, he or she receives credit or certification, as appropriate.
The CLEGA courseware platform allows the Company to offer replicating course portals, turnkey Universities and Virtual Campuses through Churches (Clergy) Physicians, and Hospitals. It also allows to offer private label and customizable training courses for Multi-Level-Marketing (“MLM”) Trainers as well.
Through its Enhancement Systems Inc, I Inc. and Psi subsidiaries, the Company also offers courseware through more traditional media, including on-site and classroom training, diskette, CD-ROM and printed formats.
1.5.Competitive Comparison
The e-learning market is evolving quickly and is subject to rapid technological change, shifts in customer demands and evolving learning methodologies. To succeed, LSI must retain its competitive and leadership edge in the CAM and Bible content market niche, continue to expand its course offerings, upgrade its technology and distinguish its solutions.
In both the CAM and Bible areas there are many suppliers of online information, including major players like WebMD, DrKoop, MedScape, Mediconsult, GNC, MotherNature, Women.com, iVillage, etc.. Many can be considered as potential strategic allies for LSI’s content . AOL, for instance, has LSI exclusive space on Instant Messenger, new member welcome message and search position, as well as e-zine partnership. AOL is also inquiring about having WA as a content provider. AltaVista and WebHelp are also interested.
What makes LSI better than the competition in its specific market niche? None of the current competitors are capable of combining LSI’s content with technology to create compelling e-learning courseware in under two weeks!
The e-learning market will undergo significant price competition. In LSI’s market niche, however, given also the leadership position that it enjoys, price competition is expected to be less aggressive.
The general e-learning market is highly fragmented with no single competitor accounting for a dominant market share, and competition is intense. In the CAM and Bible content market LSI will be competing with other “ generic” suppliers of CAM and Bible courseware, third-party suppliers of instructor-led education and learning and internal education departments.
1.6.CAM Content
LSI’s CAM content is based upon the unique and proprietary Alternative Health Grid Matrix Technology. The uniqueness of this matrix is the horizontal human anatomy; each organ is virtually integrated horizontally from one single button to each of the 15 alternative healing modalities. In addition, each modality is supported by references from leading medical literature, not eastern philosophy.
LSI has taken the above system and then using the body-organ to disease-organ architecture, has created a duplicable, repeatable engine for every other modality. By linking the organ location for the modality and repeating the image, its system links 704 disease searches to one data encyclopedia. Pre- selected search queries provide 3 to 4 hours of research in a dramatic 3 to 5 seconds.
Alternative healing therapies in the database , cross-correlated by organ or by disease, are liested below:
Acupuncture
|
Aromatherapy
|
Auriculotherapy
|
Ayurveda
|
Bach Flower remedies
|
Chiropractic
|
Colon correlations
|
Dental correlations
|
Foot reflexes
|
Eye diagnosis
|
Herbology
|
Homeopathy
|
Lip & Tongue diagnosis
|
Magnet therapy
|
Nutrition
|
As Michael Crichton states: “The physician as lifestyle expert, as well as wellness advisor, has already begun to appear. And increasingly, as medicine develops predictive procedures and genetic profiles, the doctor will be able to use technology as a preventive rather than a curative measure to administer tests. For example, tailor preventive measures for individual patients with the same specificity with which he or she now dispenses medications for disease.”
This is the key, the missing link. Until now, physicians have lacked the implementation of this information, at least in a manner where they could prescribe with confidence. After 22 years of work and research, and thanks to modern technology, it is now possible to gather and present information on CAM economically and efficiently. And, most importantly, it can be used to create instant courseware for corporations, government agencies and academic institutions.
As a result of its products, services and alliances, LSI’s customers will be able to provide healthier, more educated sound choices about the treatments they offer or dispense. Health care Institutions will find their practices flourishing, as they are able to deliver to their patients alternative choices needed to stay well.
They will find they have moved into informed partnerships with their patients where each is responsible for their part and both are empowered and enlightened through information that is now available. Those who market supplemental nutritional products will find LSI’s collection of information invaluable in documenting research, which supports the validity of supplementing as well as alternative medicines.
4. Market Analysis Summary
In 1993 the New England Journal of Medicine released a highly publicized national survey, which documented the high prevalence and expenditures of the use of alternative medicine in the United States in
1990. The report documents that one third of the population seeks some form of alternative care and is spending more than $10 billion dollars annually.
Dr. David Eisenberg of Harvard Medical School conducted a follow up national survey and published his results in The Journal of the American Medical Association, (JAMA), November 11, 1998. Entitled, “Trends in Alternative Medicine Use in the United States, " the article states that :
The prevalence and expenditures associated with alternative medical therapies in the U.S. have increased substantially from 1990 to 1997.
This increase appears to be primarily due to increases in the prevalence of use and in the frequency with which users of alternative therapy sought professional services.
In 1997, an estimated four in 10 Americans used at least one alternative therapy as compared with three in 10 in 1990.
For adults aged 35 to 49 years in 1997, it is estimated that one of every two persons used at lease one alternative therapy.
The health care delivery system is in the midst of a dramatic paradigm shift. The New England Journal of Medicine, Lancet, The Journal of the American Medical Association, The British Medical Journal, and other leading mainstream medical journals are now acknowledging as pioneers, the same scientists whose works just a decade ago were being labeled by these journals as unproven and fraudulent.
The following data provides some general information relative to the market need which health oriented web sites specifically try to address:
- Drugless, surgery-less cures for over hundreds of ailments can now be found on the Internet.
- For every single ailment, there are new, medically-proven, scientifically valid, non-surgical and non-drug treatments that can relieve pain, restore complete function and let anyone start living life the way they want to, free of pain and worry.
- 20,000,000 surfers (and the number is growing) visit 1,100+ websites and pay hefty fees for downloading information as well as obtaining up to 1,000 articles per month from various libraries.
- Portals are continuously gathering information on the 704 medically classified diseases-- from
Asthma to Zygomycosis—plus 387 herbs, 22 vitamins, and 71 trace minerals.
Proven alternative medical research is now available on …
- cleaning out clogged arteries
- enhancing longevity
- reversing the aging process
- using safer, natural forms of hormone replacement
- reversing prostate problems
- treating cancer without chemo or radiation therapies
- powerful weight-loss strategies
- ending the pain of arthritis and rebuilding worn-away cartilage
- normalizing the glucose levels of diabetics
- high blood pressure, asthma, fatigue, insomnia and a host of other chronic conditions
The 1.2 million physicians and nurses in America today, until now, have lacked the time, training and staff resources to deal with alternative medicine in a sound medical fashion. Many health care providers have difficulty just keeping up with their professional reading let alone learning more about alternative medicines and their applications.
Patients have more time to learn about their diseases/symptoms through the Internet and are now better educated about alternative medicines than ever before, sometimes gathering knowledge over and above what professionals have to offer. The grass roots, patient-driven demand for alternative cures and prevention before the disease occurs has gained a strong momentum over the last decade. Leading futurists, like John Naisbitt, Patricia Aberdeen, Alvin Toffler, Harry Dent, Michael Crichton, and alternative medicine experts like Harvard Medical School’s Dr. David Eisenberg all point to the following:
- Complementary alternative medicine is the next wave in health care.
- The demand for wellness is totally consumer driven.
- Complementary alternative medicine has all the signs of a social reform.
As a result of the demand and new supply of information, today’s consumers are way ahead of their health care providers. Mainstream medicine is running at full speed to catch up.
LSI is determined to become the key provider of information to corporations, government and academic institutions about CAM.
Internet and the World Wide Web are key to deliver information instantly and seamlessly throughout the world to B2B customers that have a need of their own to hurry in providing such information which consumers so eagerly seek.
E-learning courseware is the key delivery system to train professionals in corporations, government and academic institutions in providing accurate CAM information.
E-learning is the fastest-growing and most promising market in the education industry. According to WR Hambrecht & Co., e-learning is poised to explode, and the company anticipates the market to more than double in size each year through 2002. The training and education sector represents $772 billion, or 9% of the GNP, second only to health care, according to WR Hambrecht & Co., a full-service brokerage and underwriting firm for high-tech and emerging-growth companies. Corporate e-learning represents $500 million of that amount, with growth expected to top $7 billion by 2002.
A 1999 benchmarking study of 501 U.S. companies conducted by the American Society of Training and Development (ASTD) shows not only a year-to-year increase in spending on e-learning, but also a direct relationship between company performance and spending on training. Companies that reported improvements in business performance also reported a higher level of spending on training measured as a percentage of payroll. Higher-performing companies also provided training to a greater percentage of their employees when compared with others.
4.1.Market Segmentation
The primary targets for LSI’s e-learning products include these four vertical markets:
- Alternative Medicine Courseware Providers, i.e., corporate entities that provide corporate entities with CAM content and training courseware;
- Healthcare Professionals, i.e. the healthcare providers themselves who have a need to provide also CAM information to their patients or peers/associates
- HealthCare Institutions, i.e. all government and academic institutions that have a need to provide courseware on CAM to their staff, collaborators and patients
- Theological markets and Christian seminaries that wish to train and/or provide Bible content to members or sympathizers of their respective religious communities
4.2.Market Needs & Trends
The market needs & trends is underlined by additional statistics from Dr. Eisenberg's research:
1990
|
1997
| |
Adults who used alternative medicine
|
34%
|
42%
|
Visits to Alternative medicine
practitioners
427.1 million 628.8 million
Total spending on alternative medicine
|
$14.6 billion
|
$21.2 billion
|
Visits to primary care physicians
|
387.5 million
|
385.9 million
|
Dr. Eisenberg further states, "The magnitude of the demand for alternative therapy is noteworthy, in light of the relatively low rates of insurance coverage for these services.” The study goes on to suggest that “federal agencies, private corporations, foundations and academic institutions adopt a more pro-active posture concerning the implementation of clinical and basic science research, the development of relevant dietary supplements.”. Estimates indicate that dietary supplements have become a $6 billion segment that is expected to grow at an annual compounded rate of 25% through 2000.
The growth of the market for CAM products and services is paralleled by the growth of the need that corporations, professionals, govenment and academic institutions have to disseminate information to consumers, and LSI is well positioned to dominate this market niche with its compelling content & courseware.
5.Management Summary
Mr. xxxxxx : Chief Executive Officer.
xxxxxx is Developer Founder and CEO of LSI, and also the main VC fundraiser for the $4 Million Seed
Capital that was used to develop the original WA website.
Mr. xxxxxx is a passionate activist, an Alternative Health and Bible scholar, and a visionary entrepreneur. He has been labeled a walking encyclopedia, an alternative-medicine crusader, and Bible Scholar.
For Mr. Xxxxxx, two personal health crises turned what once was disbelief into a global crusade for health and wellness, with a relentless pursuit of “the truth told in every household” about drugs, surgeries, and the natural alternatives.
After two decades of researching and compiling a database of various healing modalities, Mr. Xxxxxx is much sought after by doctors and medical conferences as both a speaker and teacher on his health and wellness system.
Dr. Kue Yyyyyy, Chief Operations and Chief Financial Officer.
Dr. Yyyyyy is co-founder of Learning Systems, Inc.. He brings 14 years of experience as CEO of I systems, and holds an MBA in finance and a Ph.D. in Electrical Engineering. Dr. Yyyyyy brings the financial and medical expertise needed to successfully manage WA.com’s growth, blending the old economy model of “net-earnings” vs. “eyeballs” and the new economy of e-commerce based expansion into global markets.
Mr. Xxxxxx and Dr. Yyyyyy have been business partners or affiliates since 1986, and both bring complementary strengths to the organization. Mr. Xxxxxx provides the entrepreneurial spirit, and Dr. Yyyyyy executes the vision on a day to day basis.
5.1.Organizational Structure
LSI has an agile organizational structure that recognizes the need for a smooth flow of ideas and implementation between sales, marketing, and course development.
The CEO deals with three direct reports: admin/finance, sales/marketing, and development. However the company does not manage with a strict hierachy, on the contrary, it emphasizes the team. Still, as it will grow, structure will be necessary and decision-making power and the ability to act, rather than trying to do everything by consensus, will be preserved.
5.2.Management Team Gaps
LSI will strive to secure seasoned professional management with experience, the "gray haired factor." The company will be looking to add more experience to the team as it builds its administrative and financial capabilities.
5.3.Personnel Plan
The following personnel plan details LSI’s plans for the ramp-up.
Human Resources
|
Yr 1
|
Yr 2
|
Yr 3
|
CEO-
|
1
|
1
|
1
|
President- Xxxxxx
|
1
|
1
|
1
|
Executive VP/COO -
|
1
|
1
|
1
|
COO - Dr Yyyyyy
|
1
|
1
|
1
|
CAO-
|
1
|
1
|
1
|
Office Staff
|
1
|
2
|
4
|
Total Headcount
|
6
|
7
|
9
|
Total HR costs
|
790
|
897
|
989
|
Scientific Advisory Board
|
75
|
83
|
45
|
Non-Executive Directors
|
60
|
66
|
36
|
Total HR costs
|
925
|
1,045
|
1,071
|
6.Financial Plan
This is an Internet and e-learning venture that, of course, depends on the developing financial prospects of the growing Internet & e-learning world. To make it work financially, LSI need to increase valuation on schedule to bring in substantial additional capital. The tables that follow define the investment offering for investors. Specifically the plan envisions
- a pre-money valuation of $35 million, with IRR of about 180% for all investors of this round
- The exit strategy is an IPO at the of 2004, valuing the company at $356 million or $524 million, if valuation is based an very conservative earnings or sales multiples of , respectively 10 and 2.
6.1Important Assumptions
The general assumptions are listed in the following table. Obviously these are LSI specific assumptions, trivial compared to the underlying critical assumptions, which include:
- Continued growth of e-learning market and Internet usage. Published forecasts that say 4% of the world's population presently uses the Internet, and that will grow to 11% by 2005. That's strong growth. E-learning is poised to explode, and according to WR Hambrecht & Co , the market will more than double in size each year through 2002. Corporate e-learning , at $500 million in 1999, is expected to top $7 billion by 2002.
- Continued support of financial markets, which means continued rise in valuations of e-learning companies, in spite of the Internet companies melt-down. The increase in valuation is critical to our financial strategy.
6.1.1. General Assumptions
APPENDIX 2:
PLAN PERIOD: 3 YEARS
| |
KEY ASSUMPTIONS & SPECIF
|
ICATIONS
|
Budget Assumptions
| |
All areas of budget VAT & Retained taxation : 10%
Material Assets
Leasehold Improvements The improvements to be done i to adapt it to company's requirements
Laboratory Equipment Assumes availability of centralized lab facilities
Immaterial
Web Site & Corp. Image, Media Costs relate to the creation of a web site, logo, brochure , Package presentation materials
Own Intellectual Property Includes costs of preparing, national & international filing and maintaining patents . Av. Cost ($) per major patent family : Yr 1: 15k; Yr2: 25k Yr3:40k) We are assuming an average of 2 new patents per each of the years in the plan period;
Corporate Software Accounting, management and scientific software purchases/leases
Capitalizable R&D Expenses None, all costed out.
| |
Human Resources
Board of Directors (non- Assumes that only non-executive officers will receive Board executive) Compensation
Scientific Advisory Board Assumes that Board of Directors and SAB membership compensations cannot be cumulated.
Salaries Assume that salaries cost will equal 67% of all HR costs, with balance distributed among social, leaving indemnities and other costs.
| |
The table included below shows an ending valuation in the 3d year to be between $356 and $524 million depending on the multiples that are used ( earnings or sales).
Year 1
|
Year 2
|
Year 3
| |
Earning multiples
|
10
|
10
|
10
|
Pre-IPO valuation ($ million)
|
64
|
161,
|
356
|
Sales Multiples
|
2
|
2
|
2
|
Pre-IPO valuation ($ million)
|
179
|
300
|
524
|
6.3.Projected Profit and Loss
LSI believes that it can turn a profit by Year 1 as it is shown in the financial pro-forma summary. The complete pro-formas can be found in the tables appended in Volume 2 of this plan.
Table A: Summary Pro-forma Financial
Statements
|
Year1
|
Year2
|
Year3
|
($ x000)
| |||
Budget
| |||
Human Resources Count (Year-End)
|
6
|
7
|
9
|
Capital Expenditures
|
1,110
|
1,492
|
2,424
|
Human Resources
|
925
|
1,045
|
1,152
|
Research & Development
|
300
|
600
|
960
|
Sales & marketing
|
1,600
|
1,080
|
1,860
|
General & Adm
|
512
|
631
|
765
|
Total Budget
|
6,547
|
12,848
|
19,161
|
Profit & Loss
| |||
Total Sales
|
35,814
|
60,012
|
104,848
|
Cost of Sales
|
21,488
|
30,006
|
41,939
|
Total Operating Expenses
|
3,754
|
3,774
|
5,155
|
Net Income After Taxes
|
6,452
|
16,097
|
35,597
|
Cash-Flow
| |||
Cash-In Details
| |||
Sale of Stock
|
3,000
|
-
|
-
|
Gross Profit from Sales
|
14,325
|
30,006
|
62,909
|
Interest Income
|
182
|
595
|
1,574
|
Total Cash In
|
17,507
|
30,601
|
64,483
|
Cash-Out Details
| |||
Capital Expenditures
|
1,110
|
1,492
|
2,424
|
Participations
|
2,100
|
8,000
|
12,000
|
Human Resources
|
925
|
1,045
|
1,152
|
Research & Development
|
300
|
600
|
960
|
Sales & marketing
|
1,600
|
1,080
|
1,860
|
General & Adm
|
512
|
631
|
765
|
Taxes on Income
|
4,301
|
10,731
|
23,731
|
Payables(-)
|
-
212
|
-
328
|
-
493
|
Net VAT Payments
|
-
2,013
|
-
4,572
|
-
4,557
|
Balance at Year end
|
8,623
|
18,679
|
37,842
|
Balance Sheet
| |||
Assets
| |||
Current
|
6,881
|
20,695
|
49,471
|
Assets
|
692
|
1,766
|
3,773
|
Total Assets
|
7,573
|
15,876
|
39,706
|
Liabilities & Shareholder Equity
| |||
Current
|
221
|
428
|
640
|
Stockholders Equity
|
3,000
|
3,000
|
3,000
|
Retained Earnings
|
4,352
|
12,448
|
36,066
|
Liabilities Plus Equity
|
7,573
|
15,876
|
39,706
|
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