Page 44 - CAREPOINT GLOBAL BUSINESS PLAN

CarePoint Global Business Plan

8.5 Projected Cash Flow

The cash flow depends on assumptions for inventory turnover, payment days, and
accounts receivable management. Our projected 60-day collection days is not ideal, but it is
realistic in this market, and hard for us to effectively change. We're better off planning for
it than ignoring it. We need significant new financing in March to get through a cash flow
dip as we build up for mid-year sales.

Table: Cash Flow

Pro Forma Cash Flow

FY 2021 FY 2022
Cash Received

Cash from Operations
Cash Sales $4,866,598 $6,550,000
Subtotal Cash from Operations $4,866,598 $6,550,000

Additional Cash Received
Non Operating (Other) Income $25,000 $35,000
Sales Tax, VAT, HST/GST Received $243,330 $327,500
New Current Borrowing $0 $0
New Other Liabilities (interest-free) CONFIDENTIAL $0
$0
New Long-term Liabilities $0 $0
Sales of Other Current Assets $0 $0
Sales of Long-term Assets $0 $0
New Investment Received $0 $0
Subtotal Cash Received $5,134,928 $6,912,500

Expenditures FY 2021 FY 2022

Expenditures from Operations
Cash Spending $540,000 $695,000
Bill Payments $2,035,236 $2,865,527
Subtotal Spent on Operations $2,575,236 $3,560,527

Additional Cash Spent
Non Operating (Other) Expense $15,000 $25,000
Sales Tax, VAT, HST/GST Paid Out $0 $0
Principal Repayment of Current Borrowing $0 $0
Other Liabilities Principal Repayment $0 $0
Long-term Liabilities Principal Repayment $0 $0
Purchase Other Current Assets $0 $0
Purchase Long-term Assets $0 $0
Dividends $0 $0
Subtotal Cash Spent $2,590,236 $3,585,527

Net Cash Flow $2,544,692 $3,326,973
Cash Balance $5,901,043 $9,228,016

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