TRACCOM, INC.
FIVE (5) YEAR FINANCIAL FORECAST & VALUATION
| SELL PRICE | COST | 1ST YEAR | 2ND YEAR | 3RD YEAR | 4TH YEAR | 5TH YEAR |
Traccom™ Basic Units Sold: | $79.99 | $42.00 | 30,000 | 45,000 | 60,000 | 80,000 | 100,000 |
Traccom™ PRO Units Sold: | $99.99 | $44.00 | 10,000 | 20,000 | 30,000 | 40,000 | 50,000 |
Traccom™ Basic Service Activations Sold: | $24.99 | $12.00 | 24,000 | 42,000 | 57,000 | 76,000 | 96,000 |
Traccom™ Basic Service Renewals Sold: | $24.99 | $12.00 |
| 27,000 | 63,000 | 102,750 | 147,000 |
Traccom™ PRO Service Activations Sold: | $29.99 | $12.00 | 10,000 | 20,000 | 30,000 | 40,000 | 50,000 |
Traccom™ PRO Service Renewals Sold: | $29.99 | $12.00 |
| 10,000 | 28,000 | 57,000 | 96,000 |
Traccom™ Medical Pro Activations: | $115.00 | $108.00 | 20,000 | 36,000 | 45,000 | 54,000 | 60,000 |
Traccom™ Medical Pro Service Renewals Sold: | $264.00 | $84.00 | 20,000 | 54,000 | 93,600 | 138,240 | 184,416 |
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Revenue |
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| $8,755,260 | $25,084,971 | $39,771,143 | $57,334,007 | $74,999,663 |
Cost of Goods |
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| $4,143,200 | $10,389,280 | $16,462,800 | $22,308,620 | 28,716,784 |
Gross Profit |
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| $4,612,060 | $14,695,691 | $23,308,343 | $35,025,387 | $46,282,879 |
Gross Margin % |
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| 52.7% | 58.6% | 58.6% | 61.1% | 61.7% |
Op Costs |
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| $3,364,660 | $9,068,250 | $13,559,849 | $17,237,863 | $21,037,566 |
Operating Income |
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| $1,247,400 | $5,627,441 | $9,748,494 | $17,787,524 | $25,245,313 |
Operating Income % |
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| 14.2% | 22.4% | 24.5% | 31.0% | 33.7% |
Cash Flow |
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Cash In: |
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Beginning Cash |
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| $3,048 | $497,075 | $2,331,398 | $7,655,037 | $18,896,016 |
Investor Funding |
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| $1,000,000 |
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Revenue (83.4% collected cy plus 16.4% of py) |
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| $7,301,887 | $22,356,728 | $37,283,069 | $54,339,029 | $71,952,496 |
Total Cash Available |
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| $8,304,935 | $22,853,804 | $39,614,466 | $61,994,066 | $90,848,512 |
Cash Out: |
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Pre-production Development Milestones |
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| $300,000 |
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Operating Costs |
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| $3,364,660 | $9,068,250 | $13,559,849 | $17,237,863 | $21,037,566 |
Management Bonuses (30% of Operating Income) |
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| $1,688,232 | $2,924,548 | $5,336,257 | $7,321,141 |
Inventory Production |
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| $4,143,200 | $9,765,923 | $15,475,032 | $20,523,930 | 26,003,451 |
Total Cash Out |
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| $7,807,860 | $20,522,406 | $31,959,429 | $43,098,050 | $54,362,158 |
Ending Cash: |
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| $497,075 | $2,331,398 | $7,655,037 | $18,896,016 | $36,486,354 |
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VALUATION : |
| $10,952,839 |
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DCF Method |
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| $382,366 | $974,516 | $1,953,885 | $3,251,881 | $4,390,191 |
Discount Rate = 30% |
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# Issued Shares |
| 3,840,000 |
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Pre-Money Valuation / Share |
| $2.85 |
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