Chapter No.

: 6 Financial Plans

6.1 Financial Projections:

Items Amount in PKR

Working Capital 400,000/-
Furniture Expense 60,000
Rental Expense 110,000
Total 570,000

I will invest firstly 570,000 in this business in which we will cover different items which is compulsory in
this type of business. The detail of different items is given below:

 For working capital, we need 400,000/- in which we will consider different expenses like:
a) Salary expense
b) Electricity expense
c) Fuel expense
 The next one is Furniture expense; we will purchase furniture for our office. We will not
purchase equipment because we already mentioned in above chapters that we will take
equipment on contract basis when we have order for a wedding event. For furniture
expense, we need 60,000/-.
 Third one is rental expense; we will office and pay rent of our will yearly. Rental expense
of our office will be 110,000/-.

Event Summary:

Description Details
Number of wedding events in a month 3
Number of wedding events in a year 36
Number of guests per event 500
Per head cost for service seeker Rs. 400
Total cost per event Rs. 250,000
Per head expense Rs. 220
Estimated revenue per event Rs. 85,000
Estimated revenue per month Rs. 255,000
Details: The numbers of wedding event in month are 3. They can be varying according to the
situation like if there is a wedding season especially in September, October, and November, then
our number of events increases in a month as well as in the year. Mostly, weddings are in
weekend so, there will be ease for us to get events in every week.

The estimated number of guests in an event is 500; this can be increase or decrease. So,
according to number of guests, our per head cost for service seeker is 400. So, according to
number of guests in per event and per head cost for service seeker, our total cost of an event will
be Rs. 250,000.

The per head expense on business will be Rs. 220 and according to this expense our estimated
revenue will be Rs. 85,000 per event and estimated revenue in a month will Rs. 225,000.

6.2 Contingency Plan: If we have loss in a wedding event, its means that if our expense on
an event increase and we are not getting revenue from that event then we will recover it from the
next event.

If there is load shedding in that day in which we are organizing the wedding events, and people
are getting irritate due to loading shedding, then this cause will affect our business value. So, for
load shedding, we will buy generator to overcome this problem.