How to implement a business plan 1. Your business plan has to be realistic, Ftst and foremost you have to go back tothe beginning 2 Set out your objectives. 3. Set tasks to reach your objectives. 4,Time allocation 5. Progress and review. 6. Keep a tab on your finances. 7. Join a trade association or networking group. 8. Regularly review your business plan, Investing Activitiea” Your capital expenditures and sale of fixed assets will be automatically populated if you have filled out the relevant sections of the Balance Sheet. They will be blank if they do not apply. As investing activities can vary year on ‘year, you will need to fill out any investment activities for each of the 5 years in the appropriate columns for Acquisition of Business, and any Other Investing Cash Flow items. Financing Activities The long-term debt/financing row will be pre- filed based on the loan information previously entered. Use Column 8 to fil out your Preferred Stock, Total Cash Dividends Paid, Common Stock and Other Financing Cash Flow items for Year 1. This information will automatically earried over ta Years 2.5 have a loan, or are using this spreadsheet as a part of a business plan to help you obtain one, it allows you to easily see how much you will be paying each month, showing how much you are paying off your loan, and how much you are paying in interest. This will allow you to get an idea of whether or not you can afford to borrow a bit extra, if you feel it would allow you to push your business into higher places, or whether you need to shop around for a better interest rate or adjust the loan term in order to afford the loan payments. Inflation _— Although you cannot be certain of the level of Inflation, you will stil need to try and plan forit when coming up with a 5 year financial plan The international Monetary Fund provide forecasts for a number of countries, so is 2 {900d place to look if you are unsure what to enter here. Simply enter your inflation rate in the white box, Product Price Increase ‘As a consumer you are no doubt aware that the price of products goes up over time. Enter a ‘number in the white box to show the expected annual price increase of your products to enable the spreadsheet to caleulate Income In future years. Ifyou are unsure what to put here, Increasing your product price in tine with Inflation is a good starting point. If yourCash Flow ar Much of the information on the cash flow sheet Is based on calculations in the Balance Sheet. It {s important to plan your cash flow carefully, so that you know what funds you will have available to buy new stock and equipment. Operating Activities Much of this section is automatically filed in based on your balance steet. There are only three rows to fill out, which are Amortization, Other Liabilities and Other Operating Cash Flow, You only need to fill out the white boxes in Column B for Year 1, as these values will ‘automatically be carried over into subsequent years for you. Investing Activities Your capital expenditures and sale of fixed 10 purcnase some niggggggpment in vear 3 85, your business expands. Other Liabilities Use this section to enter any liabilities not covered by the pre-defined labels. You can ‘amend the text in Column A, in order to specify the liabilities, and then enter the cost of these liabilities in Column B. Equity Your business is likely to have some equity, and this can be entered into this section. You can fill ‘out the Owners Equity, Pid-in Capital and Preferred Equity in Column B. Your retained earnings are automatically calculated based on the Profit and Loss sheet. Cash Flow Much of the information on the cash flow sheetTo calculate the dep Maen expenses, which allows a total for property andequipment to be calculated automatically Other Assets ‘This section is for entering information on any assets that dont fit in the other sections. These ‘could be Goodwill Payments, Deferred Income “Tax, Long-term Investments, Deposits, or any ther long term assets, Enter the information Into Column 8, and it willbe ceried across to the yearly columns automatically. Current Liabilities, ‘As well as assets, your business is likely to have labiities. There are spaces to enter ‘Accounts Payable, Accrued Expenses, Notes Payable and Short-term Debt, Capital Leases and Other current liabilities. Just leave blank any rows where you do not have any liabilities, Current Assets This is where you can enter the value of any of, your current assets, with spaces to enter information about Cash and Short-term Investments, Accounts Receivable, Inventory, Prepaid Expenses and Deferred Income Tax. At the bottom of this section is a space for you to enter any other current assets you may have that do not fall into any of these categories Property and Equipment Depending on the nature of your business, you may have assets such as Buildings, Land, Capital Improvements and Machinery. Enter the value of these assets into Column B, and these values will be copied over to each of the 5 years of the plan. The depreciation information entered into the Model Inputs sheet will be used to calculate the depreciation expenses, which