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Proforma Cash flow statement Essay

Packaging enhances the company’s image and that is why at first glance, the products should be appealing. The message that will be sent will be simple and clear (Pinson, 2001). Packaging will therefore involve the methods that the public relations will use to enhance the good image of the company, the methods of advertising and the campaigns used to create awareness of the products. o Competition Researching on what the competitors are doing will also help the business in strengthening and redesigning its marketing strategies.

Knowing the strengths and weaknesses of a business will help the company in knowing the areas they can improve on so as to increase their competitive advantage (Pinson, 2001). The company is already looking at the competitors operations by looking at their website so as to identify the designs that they use, methods of advertisement, how they make their products appealing to their target audience and the kind of events they engage in. By knowing how the competitors work does not mean that our company will copy what they are doing.

But we will be looking at some of the things we can try and change or improve on. By observing our competitors website, we are able

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to know who their advertisers are and their rates so that we can see the people advertisers with the cheapest rates but are good and contact them to advertise our products. We are also comparing the price ranges for their products and ours so that we adjust ours so that we are not priced too low that we risk incurring losses or too high that competitors products are preferred.

In addition, we are looking at how we can incorporate special offers to make our products more attractive. Financial Plan Finances are very important to the business as they will determine if they can acquire the necessary inputs and equipment that will ensure that production is sustained. For a business to progress well, it needs to keep proper records of its activities and ensure that they have a budget which that is operational.

Funding is necessary for a business which cannot raise the required capital. For the business to get such funding, they need to record how much they owe others and what they own. This will make it easier for them to repay the loans once the business starts making progress. The amount of information that is put in the financial plan therefore varies according to the needs of the business (Finch, 2006). Therefore,” we can say that the projected costs and revenues define the financial plan (Stutely, 2002). ”

Pullpy Pints Limited financial plan will basically include cash flow forecasts, the amount of money that will be spent on operations that will include the amount that is spent on rent, paying the workers, buying and maintaining machinery, paying for the services the business receives, how much money is spent on advertising among other things. This shows that the company’s financial plan incorporates the activities that will take place in the different units and that the amounts will keep on changing according to the needs of the company and the economic situation. The companies expected cash flow for the period 2009-2011 is shown below.


Abrams, R. & Kleiner E. (2003). The Successful Business Plan: Secrets & Strategies, 4th Ed. The Planning Shop, p. 68, 155, 161-178 Finch B. (2006). How to write a business plan, 2nd Ed, Kogan Page Publishers, p. 80 Pinson, L. (2001). Anatomy of a business plan: a step-by-step guide to building a business and securing your company’s future, 5th Ed. Dearborn Trade Publishing, 2001 p. 42, 38, 45 Stutely R. (2002). The definitive business plan: the fast-track to intelligent business planning for executives and entrepreneurs, 2nd Ed. FT Press, 2002 p. 12

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