North West Egg Sales Business Plan — Financial Plan: Projected Cash Flow
Operating, investing and financing cash flows across the build and the first five years of lay.
Section 26 of 31
Financial Plan: Projected Cash Flow
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- 0. Executive Summary
- 1. Investment Thesis
- 2. Company Overview
- 3. Location
- 4. Problem and Value Proposition
- 5. Products and Pricing
- 6. Industry Analysis
- 7. Market Sizing
- 8. Customers and Channels
- 9. Competitive Landscape
- 10. Competitive Positioning
- 11. Business Model and Unit Economics
- 12. Go-to-Market Strategy
- 13. Operating Model
- 14. Farm Infrastructure and Capital Expenditure
- 15. Biosecurity and Animal Health
- 16. Management and Organisation
- 17. Strategic Plan
- 18. SWOT Analysis
- 19. Risk Analysis
- 20. ESG and Sustainability
- 21. Implementation Roadmap
- 22. Financial Plan: Key Assumptions
- 23. Financial Plan: Revenue Build
- 24. Financial Plan: Projected Income Statement
- 25. Financial Plan: Projected Cash Flow
- 26. Financial Plan: Projected Balance Sheet
- 27. Funding Requirement and Structure
- 28. Debt Serviceability and Break-Even
- 29. Returns, Scenarios and Sensitivity
- 30. Investment Case and Next Steps
Operations fund all debt service from Year 2; the funding trough is month 13, with R1.6m of cash still in hand
Month-end cash, build and Year 1 (R million)
| Category | Month-end cash | ||||||||
|---|---|---|---|---|---|---|---|---|---|
| M1 | 10.15 | ||||||||
| M2 | 8.45 | ||||||||
| M3 | 5.72 | ||||||||
| M4 | 1.74 | ||||||||
| M5 | 1.65 | ||||||||
| M6 | 1.64 | ||||||||
| M7 | 7.66 | ||||||||
| M8 | 5.02 | ||||||||
| M9 | 1.93 | ||||||||
| M10 | 1.7 | ||||||||
| M11 | 1.62 | ||||||||
| M12 | 1.71 | ||||||||
| M13 | 1.57 | ||||||||
| M14 | 1.58 | ||||||||
| M15 | 1.71 | ||||||||
| M16 | 2.21 | ||||||||
| M17 | 3.06 | ||||||||
| M18 | 3.9 | R million | Y0 | Y1 | Y2 | Y3 | Y4 | Y5 | |
| EBITDA | (0.3) | 3.2 | 8.4 | 9.3 | 8.5 | 10.1 | |||
| Add back flock depletion | 0.0 | 3.6 | 5.6 | 5.9 | 6.2 | 6.5 | |||
| Pullet purchases | 0.0 | (6.3) | (6.7) | (4.7) | (7.4) | (5.2) | |||
| Working-capital movement | 0.0 | (1.4) | (0.1) | 0.2 | (0.3) | 0.2 | |||
| Tax paid | 0.0 | 0.0 | (0.1) | (0.8) | (0.7) | (1.2) | |||
| Operating cash flow | (0.3) | (1.0) | 7.2 | 9.8 | 6.3 | 10.4 | |||
| Capital expenditure | (28.5) | (16.1) | 0.0 | (0.7) | (0.7) | (0.7) | |||
| Investing cash flow | (28.5) | (16.1) | 0.0 | (0.7) | (0.7) | (0.7) | |||
| Equity injected | 14.4 | 9.6 | 0.0 | 0.0 | 0.0 | 0.0 | |||
| Senior debt drawn | 13.5 | 12.8 | 0.0 | 0.0 | 0.0 | 0.0 | |||
| Asset finance drawn | 2.7 | 0.0 | 0.0 | 0.0 | 0.0 | 0.0 | |||
| Debt repaid | 0.0 | (0.4) | (2.2) | (2.5) | (2.8) | (3.2) | |||
| Interest paid | (0.1) | (2.6) | (3.2) | (2.9) | (2.6) | (2.3) | |||
| Dividends | 0.0 | 0.0 | 0.0 | (0.9) | (0.8) | (1.3) | |||
| Financing cash flow | 30.5 | 19.4 | (5.4) | (6.4) | (6.2) | (6.8) | |||
| Net cash movement | 1.6 | 2.3 | 1.7 | 2.7 | (0.7) | 3.0 | |||
| Opening cash | 0.0 | 1.6 | 3.9 | 5.6 | 8.4 | 7.7 | |||
| Closing cash | 1.6 | 3.9 | 5.6 | 8.4 | 7.7 | 10.6 |
So what: senior debt is drawn only as needed to hold R1.5m of minimum cash, so R0.75m of the R27.0m facility stays undrawn as headroom. Pullet purchases swing between R4.7m and R7.4m a year.