XYZ Company

Financial
Projections ( In UK
Pounds)
1Pound= 104 INR
summary

Sheet No. Name

1 Presentation slide Presentation slide

2 Traction Graphs Traction Graphs
3 Scenario Analysis BEST, BASE, & WORST Case
4 Monthly-P&L Monthly Income Statement
5 Monthly-BS Monthly Balance Sheet
6 Monthly-CF Monthly Cash Flow Statement
7 Yearly-P&L Yearly Income Statement
8 Yearly-BS Yearly Balance Sheet
9 Yearly-CF Yearly Cash Flow Statement
10 Schedules Assumptions of balance sheet
11 Revenue Revenue assumptions
12 Cost Direct and Indirect Cost assumptions
13 Capex Capital expenditure and Depreciation
14 Other expense other miscellaneous expenses
15 Salary Team building
16 WACC Weighted cost of capital
17 DCF and Sensitivity Analysis Valuation and Sensitivity analysis
 ssumptions
Depreciation
 XYZ Company
Financial
Projections ( In UK
Pounds)
1Pound= 104 INR
Graphs

All Figures In UK Pounds

60.0%
£50,000,000

£40,000,000 40.0%

£30,000,000 20.0%

£20,000,000 0.0%
Year 1
£10,000,000
-20.0%
£-
Year 1 Year 2 Year 3 Year 4 Year 5 -40.0%
-£10,000,000
-60.0%
Revenue EBITDA PAT
 Operational efficiency Reven
60.0% 100.0% £50,000,000
£45,000,000
40.0% 80.0% £40,000,000

60.0% £35,000,000
20.0% £30,000,000
40.0% £25,000,000
0.0%
Year 1 Year 2 Year 3 Year 4 Year 5 £20,000,000
20.0%
£15,000,000
-20.0%
0.0% £10,000,000
£4,813
£5,000,000 £1,839,600
-40.0% -20.0%
£-
Year 1 Yea
-60.0% -40.0%

EBITDA % PAT % ROI %

 Revenue (In UK Pounds)
0 £46,320,120
0
0
0
0
£24,582,600
0
0
0 £12,726,000
0
£4,813,200
0 £1,839,600

Year 1 Year 2 Year 3 Year 4 Year 5

 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
Presentation slide

Valuation_DCF

Breakeven Point

Particulars Year 1
Revenue £ 1,839,600
EBITDA -£ 902,226
PAT -£ 904,149

Particulars Year 1
EBITDA % -49.0%
PAT % -49.1%
ROI % -32.9%

TOTAL expenditure 2,751,441

Already Invested fund on platform development till now 430,769
Net expenditure 2,320,672
£ 35,130,936

2nd year

Year 2 Year 3 Year 4 Year 5

£ 4,813,200 £ 12,726,000 £ 24,582,600 £ 46,320,120

£ 119,569 £ 4,858,610 £ 11,557,554 £ 24,661,597
£ 88,234 £ 3,642,515 £ 8,666,723 £ 18,494,756

Year 2 Year 3 Year 4 Year 5

2.5% 38.2% 47.0% 53.2%

1.8% 28.6% 35.3% 39.9%
1.9% 46.3% 66.5% 85.4%

4,695,554 7,869,313 13,026,969 21,660,446

4,695,554 7,869,313 13,026,969 21,660,446

Particulars Year 1 Year 2 Year 3 Year 4
CAC £ 71 £ 50 £ 49 £ 47

ARPU £ 876 £ 927 £ 970 £ 954

CHURN RATE 70% 60% 50% 30%
LTV £ 1,251 £ 1,546 £ 1,939 £ 3,180
LTV/CAC 1.4 1.7 2.0 3.3

£6,000

£4,977
£5,000

£4,000
£3,180
£3,000 CAC
LTV
£1,939
£2,000 £1,546
£1,251
£1,000

£71 £50 £49 £47 £45

£-
1 2 3 4 5
 Year 5

£ 45

£ 995
20%
£ 4,977
5.0

£4,977

CAC
LTV

£45

5
 XYZ Company

Financial Projections ( In UK Pounds)

1Pound= 104 INR

Yearly Income statement

Income Statement Year
Month
Year 1 Year 2
12 12

Revenue £ 1,839,600 £ 4,813,200

Less: Variable Expenses

Gross Profit £ 1,839,600 £ 4,813,200

Gross Profit % to sales 100.00% 100.00%

Expenses
Indirect Costs £ 810,372 £ 1,592,512
Employee Cost £ 1,913,800 £ 3,081,700
Other Expenses £ 17,654 £ 19,419
Interest Charges (Short Term)
Total Expenses £ 2,741,826 £ 4,693,631

EBITDA -£ 902,226 £ 119,569

EBITDA % -49.04% 2.48%
Depreciation £ 1,923 £ 1,923
Interest & Bank Charges (Long Term)

Profit Before Tax (PBT) -£ 904,149 £ 117,646

PBT % -49% 2%
Less: Taxes 25% £ - £ 29,411

PAT -£ 904,149 £ 88,234

PAT % -49.15% 1.83%
check

USERS 2,100 5,190

 Year 3 Year 4 Year 5
12 12 12

£ 12,726,000 £ 24,582,600 £ 46,320,120 Please Note: Revenue from LPO wi

£ 12,726,000 £ 24,582,600 £ 46,320,120

100.00% 100.00% 100.00%

£ 3,305,529 £ 6,011,814 £ 10,436,747

£ 4,540,500 £ 6,989,734 £ 11,195,929
£ 21,361 £ 23,497 £ 25,847

£ 7,867,390 £ 13,025,046 £ 21,658,523

£ 4,858,610 £ 11,557,554 £ 24,661,597

38.18% 47.02% 53.24%
£ 1,923 £ 1,923 £ 1,923

£ 4,856,687 £ 11,555,631 £ 24,659,674

38% 47% 53%
£ 1,214,172 £ 2,888,908 £ 6,164,919

£ 3,642,515 £ 8,666,723 £ 18,494,756

28.62% 35.26% 39.93%

13,125 25,764 46,530

Revenue from LPO will start generating in the 3rd Month of Year 1
 XYZ Company

Financial Projections ( In UK Pounds)

1Pound= 104 INR

Yearly Balance sheet

Balance sheet Year
Months
Year 1
12

Equity & Shareholders

Equity £ 334
Invested fund £ 430,769
Investors Equity £ 4,000,000
Total Equity £ 4,431,103
Reserves & Surplus -£ 904,149
Net Worth £ 3,526,954

Non-Current Liabilities
Long Term Borrowings
Deferred Tax Liabilities
Total Non-Current Liabilities

Current Liabilities
Trade Payables £ -
Short Term Borrowings
Expense Payable & Other Liabilities £ 16,207
Provision for Taxes £ -
Total Current Liabilities £ 16,207

Total Liabilities £ 3,543,162

Non Current Assets

Fixed Assets £ 7,692
Investments
Deferred Tax Assets
Total Non Current Assets £ 7,692

Current Assets
Trade Receivables £ -
Inventory £ -
Cash & Bank Balance £ 3,507,875
Other Current Assets £ 27,594
Total Current Assets £ 3,535,469

Total Assets £ 3,543,162

-
 Year 2 Year 3 Year 4 Year 5
12 12 12 12

£ 334 £ 334 £ 334 £ 334

£ 4,431,103 £ 4,431,103 £ 4,431,103 £ 4,431,103

-£ 815,915 £ 2,826,600 £ 11,493,324 £ 29,988,079
£ 3,615,189 £ 7,257,704 £ 15,924,427 £ 34,419,182

£ - £ - £ - £ -

£ 31,850 £ 66,111 £ 120,236 £ 208,735

£ 29,411 £ 1,214,172 £ 2,888,908 £ 6,164,919
£ 61,262 £ 1,280,282 £ 3,009,144 £ 6,373,653

£ 3,676,450 £ 8,537,986 £ 18,933,571 £ 40,792,836

£ 7,692 £ 7,692 £ 7,692 £ 7,692

£ 7,692 £ 7,692 £ 7,692 £ 7,692

£ - £ - £ - £ -
£ - £ - £ - £ -
£ 3,596,560 £ 8,339,404 £ 18,557,140 £ 40,090,342
£ 72,198 £ 190,890 £ 368,739 £ 694,802
£ 3,668,758 £ 8,530,294 £ 18,925,879 £ 40,785,144

£ 3,676,450 £ 8,537,986 £ 18,933,571 £ 40,792,836

- - - -
 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
Yearly Cash Flow Statement
Cash flow Statement Year
Months
Year 1
12

Cash Flow from Operations

PAT -£ 904,149

Add:
Depreciation £ 1,923
Interests £ -
ProvisionTaxes £ -

EBITDA -£ 902,226

Working Capital Changes

Trade Receivables £ -
Inventory £ -
Other Current Assets -£ 27,594
Short Term Borrowings
Trade Payables £ -
Expense Payable & Other Liabilities £ 16,207
Total WC Changes -£ 11,387

Less: Taxes

CFO -£ 913,612

Cash Flow From Investing

Fixed Assets -£ 9,615
Investments
CFI -£ 9,615

Cash Flow from Financing

Equity £ 4,431,103
Debt
Interest
CFF £ 4,431,103

Total Cash Flow £ 3,507,875

Opening CF
Closing CF £ 3,507,875
 Year 2 Year 3 Year 4 Year 5
12 12 12 12

£ 88,234 £ 3,642,515 £ 8,666,723 £ 18,494,756

£ 1,923 £ 1,923 £ 1,923 £ 1,923

£ - £ - £ - £ -
£ 29,411 £ 1,214,172 £ 2,888,908 £ 6,164,919

£ 119,569 £ 4,858,610 £ 11,557,554 £ 24,661,597

£ - £ - £ - £ -
£ - £ - £ - £ -
-£ 44,604 -£ 118,692 -£ 177,849 -£ 326,063

£ - £ - £ - £ -
£ 15,643 £ 34,260 £ 54,126 £ 88,499
-£ 28,961 -£ 84,432 -£ 123,723 -£ 237,564

£ - -£ 29,411 -£ 1,214,172 -£ 2,888,908

£ 90,608 £ 4,744,767 £ 10,219,659 £ 21,535,125

-£ 1,923 -£ 1,923 -£ 1,923 -£ 1,923

-£ 1,923 -£ 1,923 -£ 1,923 -£ 1,923

£ - £ - £ - £ -

£ - £ - £ - £ -

£ 88,685 £ 4,742,844 £ 10,217,736 £ 21,533,202

£ 3,507,875 £ 3,596,560 £ 8,339,404 £ 18,557,140
£ 3,596,560 £ 8,339,404 £ 18,557,140 £ 40,090,342
 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
Schedules

LPO Students
No of LPO
Active LPO 60% 60% 60% 60%
Avg application 1.5 1.7 1.9 2

Agent Students
No of Agents
Active agents 60% 60% 60% 60%
Avg application 2 2.2 2.5 2.8

Total Number of students

Long Term Borrowing

Repayment
Total Loan at the month
Interest expenses on long term borrowings 10%

Short Term Borrowing

Repayment
Total Loan at the month
Interest expenses on long term borrowings 15%

Other Current Assets 1.5%

% of Sales

Accrued Expenses and other Current Liablities 2%

% on Expenses

Debtors
No. Of Days Recievables
Debtor Turnover ratio

Creditors
No. Of Days Payables
Credtor Turnover ratio

Closing stock
No. of days holding
Stock turnover ratio
 Year 1 Year 2 Year 3 Year 4
12 12 12 12

1,000 2,500 6,250 11,250

60% 600 1,500 3,750 6,750
2.2 900 2,550 7,125 13,500

1,000 2,000 4,000 7,300

60% 600 1,200 2,400 4,380
3 1,200 2,640 6,000 12,264

2,100 5,190 13,125 25,764

£ 27,594 £ 72,198 £ 190,890 £ 368,739

£ 16,207 £ 31,850 £ 66,111 £ 120,236

 Year 5
12

20,250
12,150
26,730

11,000
6,600
19,800

46,530

£ 694,802

£ 208,735
 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
Revenue assumption

Year 1
Student Commissions Top Line 12
No. of Students 900
Average Revenue/Student £ 2,100
Payout to LPO (including GST) 36% -£ 756
Net Revenue/student £ 1,344
Total revenue £ 1,209,600

Agent Revenues
No. of Students 1,200
Average Revenue/Student £ 2,100
Payout to Local Counsellor/Sub Agent
(including GST) 75% -£ 1,575
Net Revenue/student £ 525
Total revenue £ 630,000

Revenue Annually
Revenue Stream Year 1
12

Student Commissions Top Line £ 1,209,600

Agent Revenues £ 630,000

Total Revenue £ 1,839,600

Total No of Students 2,100

Yr1
LPO 900
Agent 1,200
Total Annual Students 2,100
 Year 2 Year 3 Year 4
12 12 12
2,550 7,125 13,500
£ 2,100 £ 2,100 £ 2,100
-£ 756 -£ 756 -£ 756
£ 1,344 £ 1,344 £ 1,344
£ 3,427,200 £ 9,576,000 £ 18,144,000

2,640 6,000 12,264

£ 2,100 £ 2,100 £ 2,100

-£ 1,575 -£ 1,575 -£ 1,575

£ 525 £ 525 £ 525
£ 1,386,000 £ 3,150,000 £ 6,438,600

Year 2 Year 3 Year 4

12 12 12

£ 3,427,200 £ 9,576,000 £ 18,144,000

£ 1,386,000 £ 3,150,000 £ 6,438,600

£ 4,813,200 £ 12,726,000 £ 24,582,600

5,190 13,125 25,764

Yr2 Yr3 Yr4

2,550 7,125 13,500
2,640 6,000 12,264
5,190 13,125 25,764
 Year 5
12
26,730
£ 2,100
-£ 756
£ 1,344
£ 35,925,120

19,800
£ 2,100

-£ 1,575
£ 525
£ 10,395,000

Year 5
12

£ 35,925,120

£ 10,395,000

£ 46,320,120

46,530

Yr5
26,730
19,800
46,530
 XYZ Company

Financial Projections ( In UK Pounds)

1Pound= 104 INR

Cost assumptions
Cost Annually
Particulars Year 1 Year 2
Months 12 12

Server and hosting cost £ 9,600 £ 11,520

Office rent £ 114,000 £ 249,579
Laptop £ 38,000 £ 45,193
Telecom Software £ 24,000 £ 36,000
Tour Travel £ 256,000 £ 592,000
Marketing expense - Tradional £ 55,188 £ 105,890
Events £ 240,000 £ 432,000
Digital Marketing £ 73,584 £ 120,330

Total £ 810,372 £ 1,592,512

 Year 3 Year 4 Year 5
12 12 12

£ 34,800 £ 49,800 £ 60,000

£ 405,150 £ 720,152 £ 1,231,341
£ 51,857 £ 105,001 £ 170,397
£ 54,000 £ 81,000 £ 121,500
£ 1,384,000 £ 2,500,800 £ 4,296,000
£ 279,972 £ 540,817 £ 1,019,043
£ 777,600 £ 1,399,680 £ 2,519,424
£ 318,150 £ 614,565 £ 1,019,043

£ 3,305,529 £ 6,011,814 £ 10,436,747

104
 XYZ Company
Financial Projections ( In UK
Pounds)
1Pound= 104 INR

Capex Annually
Year Year 1 Year 2
Capex Months 12 12
Furniture £ 9,615 £ 1,923
Total £ 9,615 £ 1,923

Depreciation
Fixed Assets (Tangibles & Intangibles) 7,692 7,692
Net Block - Opening 7,692
Add: Net Additions 9,615 1,923
Sub-total 9,615 9,615
Depreciation 1,923 1,923
Closing Net Block 7,692 7,692
Average Depreciation % 20% 20%
 Year 3 Year 4 Year 5
12 12 12
£ 1,923 £ 1,923 £ 1,923
£ 1,923 £ 1,923 £ 1,923

7,692 7,692 7,692

7,692 7,692 7,692
1,923 1,923 1,923
9,615 9,615 9,615
1,923 1,923 1,923
7,692 7,692 7,692
20% 20% 20%
 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
Salary
Salary Annually
Designation Year 1
Months 12
IT Team 7
Salary 560000
GTE team 10
Salary 78000
Admission Team 35
Salary 189000
Visa Team 10
Salary 78000
COE/Cas 10
Salary 54000
Corporate Agent Team 3
Salary 36000
Sales Team/Agent 10
Salary 66000
Sales Team/LPO 17
Salary 110000
Digital Marketing team 3
Salary 19800
Compliance Manager 1
Salary 60000
Compliance team 1
Salary 6600
Tech Support 3
Salary 43200
Management- 3
Salary 273600
Product Trainer 2
Salary 19200
Legal- Contract- Lead 1
Salary 10800
Legal- Contract 1
Salary 6000
Commission-Agent 1
Salary 8400
Commission-LPO 1
Salary 8400
Uni alliance 3
Salary 180000
HR 2
Salary 14400
Finance & Accounting 2
Salary 84000
Legal 1
Salary 8400

Total Staff 127

Total Salaries 1,913,800

Existing 127
new 127
Year 2 Year 3 Year 4 Year 5
12 12 12 12
7 8 9 14
560000 640000 720000 1120000
25 44 86 155
192771 341250 669864 1209780
87 94 184 332
467100 506250 993754 1794729
25 44 86 155
192771 341250 669864 1209780
25 44 86 155
133457 236250 463752 837540
4 5 6 7
48000 60000 72000 84000
20 40 73 110
132000 264000 481800 726000
42 104 188 338
275000 687500 1237500 2227500
5 7 8 10
33000 46200 52800 66000
2 3 4 5
120000 180000 240000 300000
2 3 4 5
13200 19800 26400 33000
5 7 8 10
72000 100800 115200 144000
3 3 3 3
273600 273600 273600 273600
5 12 16 20
48000 115200 153600 192000
2 3 4 5
21600 32400 43200 54000
2 3 4 5
12000 18000 24000 30000
2 3 4 5
16800 25200 33600 42000
2 3 4 5
16800 25200 33600 42000
4 5 5 6
240000 300000 300000 360000
 4 7 8 10
28800 50400 57600 72000
4 6 7 8
168000 252000 294000 336000
2 3 4 5
16800 25200 33600 42000

277 450 800 1368

3,081,700 4,540,500 6,989,734 11,195,929

277 450 800 1,368

151 173 350 568
 Start Block
Financial Projections ( In UK
Pounds)
1Pound= 104 INR
Other expenses Year
Other Expenses Year 1 Year 1

Other Expenses Annually

Expense Year 1 Year 2
months 12 12
CA Audit Fees £ 346 £ 381
Misclleanous £ 17,308 £ 19,038
TOTAL £ 17,654 £ 19,419
 Year 1 Year 1 Year 1 Year 1 Year 1

Year 3 Year 4 Year 5

12 12 12
£ 419 £ 461 £ 507
£ 20,942 £ 23,037 £ 25,340
£ 21,361 £ 23,497 £ 25,847
Year 1 Year 1 Year 1 Year 1 Year 1
Year 2 Year 2 Year 2 Year 2 Year 2
Year 2 Year 2 Year 2 Year 2 Year 2
Year 2 Year 2 Year 3 Year 3 Year 3
Year 3 Year 3 Year 3 Year 3 Year 3
Year 3 Year 3 Year 3 Year 3 Year 4
Year 4 Year 4 Year 4 Year 4 Year 4
Year 4 Year 4 Year 4 Year 4 Year 4
Year 4 Year 5 Year 5 Year 5 Year 5
Year 5 Year 5 Year 5 Year 5 Year 5
Year 5 Year 5 Year 5
 XYZ Company
Financial Projections ( In UK Pounds)
1Pound= 104 INR
WACC

Cost of equity
Risk-free rate (Rf) 2.20%
Unlevered Equity Beta 100.00%
Average Market Return 7.80%
Equity Risk Premium 5.60%
Levered Cost of equity (Rf+b(Rm-Rf) 7.8%
Adjusted Cost of Equity 25.80%

Cost of debt
Pre-tax cost of debt (d^) 10.00%
Tax rate (T) 25.00%
After-tax cost of debt (1-T)d^ 7.50%

Target capital structure

Debt (D) 0.00%
Equity (E) 100.00%

Weighted Average Cost of Capital (WACC) 7.8%

Specific Company Risk Premium 18%
Adjusted WACC 25.8%

Terminal Growth Rate 3.00%

 XYZ Company

Financial Projections ( In UK Pounds)

1Pound= 104 INR

DCF & Sensitivity Analysis

Free Cash Flow Year 1
Months 12

PAT -£ 904,149

Adjustments to :
Depreciation £ 1,923
Change in Working capital £ 11,387
Interest (1-tax rate) £ -
Change in Capex £ 9,615

Free Cash flow -£ 923,228

DCF Value Computation

Years Time Line 1
WACC - Adjusted 25.80%
Discount Factor 0.79
FCF -923,228
PV of FCF -733,885.37
Continuing value
Terminal growth rate of FCF 2.00% 25.80%
Terminal Value
PV of TV

Enterprise Value £ 35,130,936

Sensitivity Analysis

₹ 35,130,936 50%
2%
3%
GROWTH RATE 4%
5%
6%
 Year 2 Year 3 Year 4 Year 5
12 12 12 12

£ 88,234 £ 3,642,515 £ 8,666,723 £ 18,494,756

£ 1,923 £ 1,923 £ 1,923 £ 1,923

£ 28,961 £ 84,432 £ 123,723 £ 237,564
£ - £ - £ - £ -
£ 1,923 £ 1,923 £ 1,923 £ 1,923

£ 59,273 £ 3,558,083 £ 8,543,000 £ 18,257,191

2 3 4 5

0.63 0.50 0.40 0.32

59,273 3,558,083 8,543,000 18,257,191
37,453.90 1,787,204.26 3,411,048.03 5,794,697.42

78,245,106.05
24,834,417.50

WACC
55% 62.80% 65% 70%