Question

financial analysis including Income statement, Balance sheet and stateent of cash flows for an app business plan

I have no data. it is a simulation on a business that doesn’t exist yet and needs to be created. It is an application that will link kids and eldery to discuver their skills with school that will provide them with working on their skills. I will be making money in clicks and advertizing from my platform. I will invest my $100,000 cash and will need 3.5 million loan to support 3 people salary expense, rent a facility, app creation expenses, buy equipment...

please help me creating something realistic.

interest can be a number between 6 to 9 percent and expected earnings will be progressively from first year around $250,000 second year $350,000 and the 3 following years around $650,000 to $750,000 to facilitate the ROE and pay back loans. the first two years doesn’t need to be positive in ROE but from the third year should pick up.

Please advise if realistic.

Answer 1

Profit and Loss A/c	Year 1	Year 2	Year 3
Income from Operations	250,000.00	350,000.00	750,000.00
Expenses
Salary	108,000.00	118,800.00	130,000.00
Rent	24,000.00	25,200.00	26,400.00
Indirect Expenses	12,000.00	13,000.00	15,000.00
Depreciation	75,000.00	100,000.00	125,000.00
Interest	105,000.00	150,000.00	175,000.00
	324,000.00	407,000.00	471,400.00
Profit/Loss	(74,000.00)	(57,000.00)	278,600.00
Balance Sheet	Year 1	Year 2	Year 3
Liablities
Capital	100,000.00	100,000.00	100,000.00
Loans	3,500,000.00	3,500,000.00	3,500,000.00
Current Liabliities	350,000.00	250,000.00	450,000.00
	3,950,000.00	3,850,000.00	4,050,000.00
Assets
Fixed Assets	1,500,000.00	2,000,000.00	2,500,000.00
Current Assets	2,450,000.00	1,850,000.00	1,550,000.00
	3,950,000.00	3,850,000.00	4,050,000.00