Main idea of financial planning is determining the targeted product that will be sold. After set the product price, the ratio between fixed costs to gross profit will show how many project or product that need to be procured. This analysis called breakeven analysis.
A. Start-up funding
Before start running a business, the company need to purchase some stuff to prepare and support the activity. This purchasing is determined the capital that needed. As start-up company, we have equity from our friends and family.
The company need to rent the office for operating the business. The rental authorization requires to pay deposit before start the rent. The payment of deposit cost THB 30,000 and should be paid in advanced. Moreover, to set up the premises, the company need to buy some stationery and office supplies like tables, chair, and shelf.
To accommodate the job in the future, the company need to purchase some computers, we plan to hire 3 engineers so it needs 3 computers. Along with the computer, the company accommodate the future job with internet. Before the business start running, we need to set up internet device for the office, it costs THB 3,000.