12 Month Cashflow Template

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12 Month Cashflow Template Powered By Docstoc
					                    Your Planning Kit

         This Kit forms part of an online subject and should help you plan your business.


If you complete all the online subjects and the documents in this Planning Kit, you'll have a well
                         documented basis for planning your business.




Page 1
                    Market Research
   The templates in this course should assist you with the market research for your business.




Page 2
External Environment
Example
The template below has been completed for you as an example. The example business is an employment agency specialising in
engineering.

Environmental                                             Economic                                                         Target Market
         Recycling policy – office to have a paper                Inflation rates are low but may increase                       Large mining contract awarded in local area
        recycling bin
                                                                   Bank charges are high                                           Expanding market for labour hire due to current
                                                                                                                                  trends
                                                                   Interest rates are on the increase
                                                                                                                                   Shortage of qualified engineers




Social & Cultural                                         Political & Legal                                                Competitors & Suppliers
         Large ethnic mix in catchment area                       Considerable incentives to employers recruiting                Current employment agencies unable to fulfil
                                                                  technical staff; this includes engineers                        expanding demand for outsourced recruitment
         Equal Opportunities policy
                                                                   Unions pressing for permanency of casual                       Competitors provide general recruitment services
          Community encourages people to consider non-           employees                                                       as opposed to specialized services
        traditional job roles
                                                                   Require employment agency licence                              Charge out rates are expensive and inflexible
                                                                   Develop formal partnership agreement for all parties           Broadband connection available for IT needs
                                                                                                                                   Software management service identified




                                                                                                                                                                                    Page 3
External Environment
Template
Please complete the template below with the thoughts, ideas and research results that you have complete. This information is the
foundation for business planning and will be called upon throughout the planning process.

Environmental                               Economic                                      Target Market




Social & Cultural                           Political & Legal                             Competitors & Suppliers




After you've completed this template, please return to Market Research.




                                                                                                                                   Page 4
Internal Environment
Example
This template has been completed for you as an example, using an employment agency specializing in engineering.

Performance                                                   Business Capabilities                                         Physical Resources
        Need reliable computer network including e mail               Identification of niche market                            380 square metres of air conditioned office space
       and internet access
                                                                       Develop suitable business plan                            10 suitable interview offices
        Need computerised scheduling system
                                                                       High charge out rate for services offered                 15 car parking spaces
        Need a clearly defined customer service policy
                                                                                                                                  IT equipment
        Develop standard operating procedures manual
        10 x line telephone system with 15 extensions




Knowledge & experience                                        Regulators                                                    Financial Resources
        Partners have 42 years combined experience of                 Business needs to be quality assured using third          Both partners have financial backing
       running recruitment agencies                                   party auditor
                                                                                                                                  Develop 12 month cashflow forecast
        3 x senior recruitment consultants with                       Need an internal audit program
       knowledge of engineering field
                                                                       Need a computerized client management and billing
        Established recruitment and selection policy                 system
        Modern technology to enable rapid
       communication; email, mobile phones etc
        Attractive job packages to be offered for internal
       staff




                                                                                                                                                                                 Page 5
Internal Environment
Template
Please complete the template below with the thoughts, ideas and research results that you have completed. This information is the
foundation for business planning and will be called upon throughout the planning process..

Performance                                 Business Capabilities                         Physical Resources




Knowledge & experience                      Regulators                                    Financial Resources




After you've completed this template, please return to Market Research.


                                                                                                                                    Page 6
Customer Profile
It is very important that you know who your customers are so that you can target them
effectively. Please complete the following exercise by typing in the information you have
discovered from your Market Research about your customers..

                                                     Customer Profile
         Who your customers are

                                                        Applies?        My customers
                                                         yes/no

         Age child, teenager, young or middle aged
         adult, retired.


         Family size small, medium, large.

         Gender male, female.

         Occupation labourer, technical,
         professional.


         Education primary, secondary, tertiary.

         Cultural background caucasian, african

         Where your customers are

                                                        Applies?        My customers
                                                         yes/no

         Location inner city, suburban, urban, rural.

         Distance distance from your business,
         locality preference.


         Residence low, medium or high density
         housing.


         Customer Characteristics

                                                        Applies?        My customers
                                                         yes/no

         Personality leader, status conscious,
         outgoing, introvert.


         Buying behaviour comfort,
         convenience, economical, pride.


         Buying patterns seasonal, usage rate,
         frequency of purchase.


         Lifestyle health conscious, family oriented,
         career oriented, community active.


         Expectations service, quality, risk,
         influence.




                                                                                            Page 7
Competitor Profile
Please answer the following questions to draw up a Competitor Profile. You'll need to do one for each of your major competitors.

                                                              Competitor Profile
        Who your competitors are

                                   Question                                                    Your Answer
        1. Name of competitor



        2. How would you rank their location? Poor / Satisfactory /
        Good / Excellent. Why? (ie: exposure, traffic flow, access,
        parking, other businesses)



        3. How many employees do they have?
        4. How effective are their employees at doing their job? (ie:
        knowledge, attitude, courtesy)


        5. What is their pricing policy? Discount / Mid-Range / Up
        market / Exclusive


        6. Who are their targeted customers?




                                                                                                                                   Page 8
7. What do they do to advertise and promote their product?
(Also consider frequency and coverage.)



8. What is their overall image in the market place?




9. Do they have a well organised approach to appealing to
customers and if not, where is there room for improvement?
(Consider credit terms, delivery, after sales service.)

10. Do you have any recent feedback from their customers?




11. Are the majority of customers satisfied with the service[s]
or product[s] on offer? Why?



12. What differentiates my customer from my competitor’s
customers?




                                                                  page 9
        13. Are my competitors so widely known that it would be
        difficult to take away current customers?




        14. From the information gathered these are what appear to
        be my competitor’s strengths:


        15. From the information gathered these are what appear to
        be my competitor's weaknesses:


        16. What areas can I identify where I may be able to
        capitalise on my competitor’s weaknesses?


        17. Now you have completed your Competitor Profile, what
        benefit[s] would your customers gain from buying your
        product or service as opposed to that of your competition?




After you've completed your Competitor Profile(s), please return to Market Research.




                                                                                       page
10
          Critical Success Factors
The templates in this course should assist you to determine the critical success factors for your
                                           business.




Page 11
Critical Success Factors
Template
Critical Success Factors (CSF’s) are those features of the business which you must have to achieve your competitive advantage and ensure
the future success of your business.
Use this template to identify your CSFs thinking about them in terms of business resources, processes and characteristics and also within the context of the 4P’s. Keep it
simple, but make sure you identify them all. By identifying the elements of your business that are critical to its success, you are more likely to prosper. Once you have done
this, you can prioritise them in order of importance to the business.

          Business Resources                                                                                                                       Priority

                                                
                                                


          Processes/systems                     
                                                
                                                


          Products/service                  Products
                  Product                      
                  Place                    Place
                  Promotion                    
                  Price                    Promotion
                                                
                                            Price
                                                


Once you have completed the template, you can return to Identifying Critical Success Factors.

                                                                                                                                                                        Page 12
                     Making it happen
  The templates in this course should assist you to identify the key activities you need for your
                                           business.




Page 13
Identifying key activities
In this template, first list in priority order your CSF’s, then work out and list the key activities which should help you achieve your CSF’s.
       Priority                 CSF                                                        Key Activities

          1                                             
                                                         
                                                         
                                                         
          2                                             
                                                         
                                                         
                                                         
          3                                             
                                                         
                                                         
                                                         
          4                                             
                                                         
                                                         
                                                         
          5                                             
                                                         
                                                         
                                                         


                                                                                                                                                 Page 14
Once you have completed the template, you should return to Key Activities.




                                                                             Page 15
Developing Tasks
In this template, first list the key activities in priority order, then determine the tasks required to fulfil each activity. This will provide you with the
steps you need to do. It also helps at this stage to do a preliminary estimate of your resources and costs.
               Key Activity                             Tasks                          Estimated Resources                   Estimated Costs
                                                                                  (e.g., money, people, equipment)

                                     
                                      
                                      
                                     
                                      
                                      
                                     
                                      
                                      
                                     
                                      
                                      
                                     
                                      
                                      


Once you have completed this template, or as many templates as you need to do, you should return to Key Activities.



                                                                                                                                                    Page 16
Developing an Action Plan
Expand the tasks you have already identified into an action plan by completing the following template. Use the example as a guide.

                              Tasks                      Time       Finish     Resources         Cost        Who's          Specific
                                                        needed       Date       Required                  Responsible?      Outcome

     # 1: Buy a photocopier                           1 week      23rd         Internet for   $ 20,000   John             Installed and
                                                                  August      research.                                   operational
                                                                              Transport to                                photocopier.
                                                                              visit retail
                                                                              outlets.

     # 2:




     # 3:




     # 4:




     # 5:




Once you have completed this template, or as many templates as you need to do, you should return to Developing an Action Plan.
                                                                                                                                          Page 17
          Budgeting & Forecasting
  The templates in this course should assist you with preparing the budgeting and forecasting
                                 documents for your business.




Page 18
Cash Flow Forecast
Please use the template below to complete your own cash flow budget:
                                                  Cash Flow Budget Worksheet
           Months                                                              Total
        Beginning Cash Balance
        Item
            Sales
            Owner's Capital
            Loans
             Total Cash In
        Available Cash Balance
        Cash Out (Expenses):
           Purchases
           Accounting Fees
           Advertising
           Power
           Rent or Lease
           Motor Vehicle
                         Registration
                           Insurance
                               Petrol
                             Repairs
           Wages
           Insurance
           Telephone
           Maintenance
           Profit Goal
           Others:


           Total Cash Out
           Cash Balance
        Establishment Costs
        Total Capital Required



                                                                                       Page 19
                     Keeping on track
     The templates in this course should assist you to identify key performance indicators to
                           measure the performance of your business.




Page 20
Key Performance Indicators
Example
The template below shows you an example of how to list the key performance indicators for your business:

     Key Performance Indicators
     Accounting & Reporting         length of average reporting cycle           Ordering & Purchasing           average order to delivery lead time
                                    performance time to deadline                                                % rejections/time period
     Billing & Collecting           accounts receivable days                    Order Taking                    no. of back orders/time period
                                    % outstanding bad debts/time period                                         no. of cancelled orders/time period
     Creditor Payments              accounts payable days                       Planning & Budgeting            overall business performance to plan
     Customer Feedback              no. of guarantee claims/time period                                         performance to budget
                                    no. customer complaints/time period         Promotions                      enquiry contacts per promotional activity
     Design & Development           no. of prototype rejections/time period     Quoting/Pricing                 % quote acceptance/time period
                                    no. of prototype conversions/ time period                                   % quote rejects/time period
                                    average prototype development lead time                                     conformance with formal price schedule
     General Management             business performance to growth & profit     Receiving & Warehousing         average order to delivery lead time
                                     objectives
                                    management & staff turnover/time period                                     % rejections/time period
                                    management meetings/time period             Staff Appraisal                 appraisals/time period
     Goods/Services Conversion      average job lead time                                                       actioning of appraisal outcomes/time period
                                    % quality failure/time period               Staff Exits                     staff turnover
                                    no. of guarantee claims/time period                                         costs/time period
                                    % capacity utilisation                                                      no. of system complaints/exit interview
     Goods/Services Delivery        average delivery lead time                  Staff Recruit. & Selection      staff turnover
                                    no. of guarantee claims/time period                                         recruitment costs/time period
     Job Scheduling                 average job lead time/time period           Staff Development               training costs/time period
                                    hours overtime/time period                                                  training needs analysis
     Maintenance                    costs per time period                       Stock Control                   inventory turnover or days
                                    % downtime/time period                                                      % damaged and/or lost stock/overall stock holding
                                    failures/time period                        Warranty Claims                 % sales/time period


                                                                                                                                                                Page 21
Template
In the template below, add your proposed key performance indicators for the relevant areas of your business:

  Key Performance Indicators
  Accounting & Reporting                                          Ordering & Purchasing        
                                                                                               
  Billing & Collecting                                            Order Taking                 
                                                                                               
  Creditor Payments                                               Planning & Budgeting         
  Customer Feedback                                                                            
                                                                  Promotions                   
  Design & Development                                            Quoting/Pricing              
                                                                                               
                                                                                               
  General Management                                              Receiving & Warehousing      
                                                                                               
                                                                  Staff Appraisal              
  Goods/Services Conversion                                                                    
                                                                  Staff Exits                  
                                                                                               
                                                                                               
  Goods/Services Delivery                                         Staff Recruit. & Selection   
                                                                                               
  Job Scheduling                                                  Staff Development            
                                                                                               
  Maintenance                                                     Stock Control                
                                                                                               
                                                                  Warranty Claims              




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