Sireletso Protective Group Business Plan — Appendix B: Application and Sources of Funds
Detailed application of funds against sources at financial close, covering equipment, vehicles, working capital and mobilisation.
Appendix B: Application and Sources of Funds
Jump to section
- Overview & contents
- i. Important Notice
- 1. Executive Summary
- 2. Transaction and Funding Summary
- 3. Business Overview
- 4. Market Analysis
- 5. SWOT and Competitive Position
- 6. Service Offering and Revenue Model
- 7. Operations
- 8. Regulatory and Compliance Framework
- 9. Business Development and Client Acquisition
- 10. Management and Organisation
- 11. Financial Projections
- 12. Working Capital: The Central Finding
- 13. Funding Structure and Debt Service
- 14. Break-Even
- 15. Sensitivity and Scenarios
- 16. Risk Management
- 17. Implementation Roadmap
- 18. Investment Returns
- 19. Key Performance Indicators
- 20. Key Assumptions
- 21. Conclusion
- A. Appendix A: Consolidated Financial Summary
- B. Appendix B: Application and Sources of Funds
- C. Appendix C: Debt Schedules
- D. Appendix D: Risk Register
- E. Appendix E: Glossary
- B.1 Fixed assets
- B.2 Pre-opening and accreditation
- B.3 Working capital reserve and total
- B.4 Sources
- B.5 Property, plant and equipment roll-forward
B.1 Fixed assets
|
Item |
R’000 |
Share of total funding |
|---|---|---|
|
Protective fleet: 6 x mid-size SUV |
4 680 |
17.6% |
|
Executive sedans (2) |
1 380 |
5.2% |
|
B4 armoured SUV (1) |
2 450 |
9.2% |
|
Response and logistics vehicles (2) |
840 |
3.2% |
|
Firearms, safes, ballistic protection and medical |
1 850 |
7.0% |
|
24/7 operations control room build and technology |
1 620 |
6.1% |
|
Vehicle tracking, communications and radio network |
640 |
2.4% |
|
Training academy fit-out and simulation |
1 180 |
4.4% |
|
IT systems, CRM, rostering and payroll platform |
890 |
3.4% |
|
Office and armoury fit-out |
960 |
3.6% |
|
Total fixed assets |
16 490 |
62.1% |
B.2 Pre-opening and accreditation
|
Item |
R’000 |
Treatment |
|---|---|---|
|
PSIRA company and officer registrations |
285 |
Charged to Year 1 income |
|
Firearm licence applications, section 20 |
240 |
Charged to Year 1 income |
|
SASSETA academy accreditation |
310 |
Charged to Year 1 income |
|
Recruitment, vetting and psychometrics |
520 |
Charged to Year 1 income |
|
Founding cadre training and certification |
640 |
Charged to Year 1 income |
|
Legal, formation and insurance placement |
295 |
Charged to Year 1 income |
|
Launch business development |
380 |
Charged to Year 1 income |
|
Total pre-opening and accreditation |
2 670 |
B.3 Working capital reserve and total
|
Item |
R’000 |
Share of total funding |
|---|---|---|
|
Total fixed assets |
16 490 |
62.1% |
|
Total pre-opening and accreditation |
2 670 |
10.1% |
|
Working capital reserve |
7 400 |
27.9% |
|
Total funding requirement |
26 560 |
100.0% |
B.4 Sources
|
Source |
R’000 |
Share |
Terms |
|---|---|---|---|
|
Equity subscription |
11 952 |
45.0% |
Ordinary shares, fully subscribed at financial close |
|
Senior term loan |
14 608 |
55.0% |
13.75%, 84 months, 18-month capital moratorium |
|
Total at financial close |
26 560 |
100.0% |
|
|
Invoice discounting facility |
up to 12 000 |
— |
15.0%, revolving, 65% advance against eligible debtors |
B.5 Property, plant and equipment roll-forward
|
R million |
Year 1 |
Year 2 |
Year 3 |
Year 4 |
Year 5 |
|---|---|---|---|---|---|
|
Opening balance |
16.49 |
14.01 |
12.37 |
10.69 |
9.11 |
|
Additions |
0.60 |
1.80 |
2.20 |
2.50 |
2.80 |
|
Depreciation |
(3.08) |
(3.44) |
(3.88) |
(4.08) |
(4.48) |
|
Closing balance |
14.01 |
12.37 |
10.69 |
9.11 |
7.43 |