Business Plan Financials
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8c) Assumptions to Income Statement
We assumed seasonality of retail/servicing revenues and calculated them on a per day basis around off/on/front shoulder/back shoulder seasons. We assumed custom board revenue will average over the year. Cost of goods sold was assumed to be 50% of revenue. We feel this is conservative, since the servicing side of the operation is typically greater than that. Rent will increase in the second and third years as we take on industrial space to expand our manufacturing capability. Salaries are based on store salaries that vary by season and manufacturing salaries. They were calculated on the basis of man-hours. The manufacturing salaries scale up with our production......
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