Zambikes: Setup and operational costs

Setup expenses
Computer equipment R 10,000
Computer, printer and software R 15,000
Conversion of office space R 300,000
Furniture and fittings R 100,000
Marketing R 1,000
Rental deposit R 16,000
Towels, gowns, linen R 4,000

Fixed monthly expenses

Marketing R 500
Monthly rental R 8,000
Office consumables R 500
Salary: cleaner R 4,000
Salary: receptionist R 6,000
Salary: therapist R 15,000
Staff refreshments R 1,000

Variable monthly expenses

Additional therapist wages 25% of service income over R100000
Cost of stock for sale 60% of income from sale of stock
Packaging costs 8% of income from sale of stock
Pro-rata facility payment 5% of service income
Therapy consumables 15% of service income

Increase in monthly
service income
 Notes
Rental deposit is equal to two month's rental payment
Gift vouchers are regarded as therapy services provided
Income from both therapy and sales is expected to increase at a consistent monthly rate
Monthly rental will increase on 1 January 2016

July 2015 estimated income

Income from Services R 30,000
Income from Sale of stock R 2,500
Expected monthly increase in Service income 15%
Expected monthly increase in Sales income 15%
Expected rental increase from 1 January 2016 15%

ACCUMULATED PROFIT as at 30 June 2016

July 2015 service income needed for R300,000 profit:

of service income over R100000

of income from sale of stock
of income from sale of stock
of service income
of service income
Zambikes: Cash flow modelling

2015 2015 2015 2015 2015

Jul Aug Sep Oct Nov
Expected income: therapy R 30,000 R 34,500 R 39,675 R 45,626 R 52,470
Expected income: sales R 2,500 R 2,875 R 3,306 R 3,802 R 4,373

Monthly expenses: fixed R 35,000.00 R 35,000.00 R 35,000.00 R 35,000.00 R 35,000.00

Marketing R 500.00 R 500.00 R 500.00 R 500.00 R 500.00
Monthly rental R 8,000.00 R 8,000.00 R 8,000.00 R 8,000.00 R 8,000.00
Office consumables R 500.00 R 500.00 R 500.00 R 500.00 R 500.00
Salary: cleaner R 4,000.00 R 4,000.00 R 4,000.00 R 4,000.00 R 4,000.00
Salary: receptionist R 6,000.00 R 6,000.00 R 6,000.00 R 6,000.00 R 6,000.00
Salary: therapist R 15,000.00 R 15,000.00 R 15,000.00 R 15,000.00 R 15,000.00
Staff refreshments R 1,000.00 R 1,000.00 R 1,000.00 R 1,000.00 R 1,000.00

Monthly expenses (variable) R 7,700.00

Additional therapist wages R - R - R - R - R -
Cost of stock for sale R 1,500.00
Packaging costs R 200.00
Pro-rata facility payment R 1,500.00
Therapy consumables R 4,500.00

NET PROFIT ###

Profit as % of turnover

Accumulated profit
Zambikes: Cash flow modelling
VUYO MAKALIMA
MKLVUY005

2015 2016 2016 2016 2016

Dec Jan Feb Mar Apr
Expected income: therapy R 60,341 R 69,392 R 79,801 R 91,771 R 105,536
Expected income: sales R 5,028 R 5,783 R 6,650 R 7,648 R 8,795

Monthly expenses: fixed R 35,000.00 R 36,200.00 R 36,200.00 R 36,200.00 R 36,200.00

Marketing R 500.00 R 500.00 R 500.00 R 500.00 R 500.00
Monthly rental R 8,000.00 R 9,200.00 R 9,200.00 R 9,200.00 R 9,200.00
Office consumables R 500.00 R 500.00 R 500.00 R 500.00 R 500.00
Salary: cleaner R 4,000.00 R 4,000.00 R 4,000.00 R 4,000.00 R 4,000.00
Salary: receptionist R 6,000.00 R 6,000.00 R 6,000.00 R 6,000.00 R 6,000.00
Salary: therapist R 15,000.00 R 15,000.00 R 15,000.00 R 15,000.00 R 15,000.00
Staff refreshments R 1,000.00 R 1,000.00 R 1,000.00 R 1,000.00 R 1,000.00

Monthly expenses (variable)

Additional therapist wages R - R - R - R - R -
Cost of stock for sale
Packaging costs
Pro-rata facility payment
Therapy consumables

NET PROFIT
Profit as % of turnover

Accumulated profit
Zambikes: Cash flow modelling

2016 2016
May Jun
Expected income: therapy R 121,367 R 139,572
Expected income: sales R 10,114 R 11,631

Monthly expenses: fixed R 36,200.00 R 36,200.00

Marketing R 500.00 R 500.00
Monthly rental R 9,200.00 R 9,200.00
Office consumables R 500.00 R 500.00
Salary: cleaner R 4,000.00 R 4,000.00
Salary: receptionist R 6,000.00 R 6,000.00
Salary: therapist R 15,000.00 R 15,000.00
Staff refreshments R 1,000.00 R 1,000.00

Monthly expenses (variable)

Additional therapist wages R - R -
Cost of stock for sale
Packaging costs
Pro-rata facility payment
Therapy consumables

NET PROFIT
Profit as % of turnover

Accumulated profit