CONDUCTING A FEASIBILITY STUDY PART TWO


How much will it cost to start? How much to maintain monthly?

PART TWO CASH NEEDS

CASH SHORTAGE

 

***Note: Operating profitably does not lead to having enough cash ---Profits DO NOT equal cash flow

PLANNING CASH NEEDS BEFORE START-UP


Two components:
1. ONE TIME EXPENDITURES TO OPEN
2. OPERATING EXPENSES FOR FIRST FEW MONTHS

* these are important to plan especially for banks and funding sources

1. ONE TIME START-UP COSTS

Retail


2. MARKETING COSTS

 

 



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