Financial Information

Marketing Research

[Our Prices]

Spikes: $65

XC Shoes: $110

Running Shoes: $100


[Runner's Flat Prices]

Spikes: $65

XC Shoes: $120

Running Shoes: $100

Marketing Plan

Other Merchandise:

Headbands: $8

Bars: $2

Frisbee: $1

Start-Up Cost

$900,000

Financial Strategy

Personal Savings: $1,000

Relatives/Friends: $1,000

Investor: $308,000

+ Grant: $500,000

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$900,000

Selling Price and Sales

Selling price for a pair of running shoes: $100

Number of pairs of running shoes sold per month: 300

Total Sales: $30,000

Income Statement (monthly)

Total Sales: $30,000

Cost of Goods Sold: $3,600

Gross Profit: $26,400

Operating Expenses: $1,000

Net Profit: $25,400

Income Statement (6-month)

Total Sales: $180,000

Cost of Goods Sold: $21,600

Gross Profit: $158,400

Operating Expenses: $6,000

Net Profit: $152,400

Cash Flow Projection (6-month)

Beginning Balance: $900,000

Start-Up Costs: $900,000

Cash Generated from Operations (net profit): $152,400

Ending Cash Balance: $154,400

Selling Price and Sales

Running shoes:

Cost to us: $28

Markup: $100

10% Discount: $90

25% Discount: $75