1. 1 | How to present your startup budget
How to present
your startup
budget
Balancing full information with simplicity
BENDTSEN start og udvikling – www.janbendtsen.dk

2. 2 | How to present your startup budget
This e-book includes a real-life example of a startup budget for a small retail store
and shows how the budget was presented in the business plan.
However, there is not just one right way to present a budget in a business plan, at this
example does not claim to be the one and only way to do it – or even to be the right
way.
Instead it is intended as an example for discussion:
 Does the presentation include the information you need? Or is something
missing?
 Is it simple and easy to read and understand? Or is it packed with too many
details blurring the big picture?
 What does it tell you about the business?
 And what are the questions it raises?
A typical structure for a budget presentation in a business plan could be:
 Establishing budget
 Operating budget
 Cash flow budget
 Funding budget
 Sensitivity analysis
 Notes and specifications
 Budget assumptions
This presentation is much in line with this structure.
BENDTSEN start og udvikling – www.janbendtsen.dk

3. 3 | How to present your startup budget
Budget example
The budget material in this part is example of a budget in a small specialized retail
store with normal shop sales and some business-to-business sales.
The budgets below are as they were presented in the business plan.
Establishing budget
Establishing costs Kr.
Deposit, rent 45.000
Interior decoration and repair 175.000
Equipment 150.000
Furniture 50.000
Stock 25.000
Chashier and card payment 25.000
Establishing costs 470.000
BENDTSEN start og udvikling – www.janbendtsen.dk

4. 4 | How to present your startup budget
Operating budget
Kr.
Turnover 1.200.000
Cost of goods sold -360.000
Contribution margin 840.000
Wages -143.000
Premises -215.500
Sales and marketing -35.500
Administration costs -34.300
Total fixed costs -428.300
Earnings before depreciation 411.700
Depreciation -100.000
Earnings before interest 311.700
Interest -35.000
Net profit 276.700
BENDTSEN start og udvikling – www.janbendtsen.dk

5. 5 | How to present your startup budget
Funding budget
Capital need Kr.
Establishing costs 470.000
Operating capital 85.000
Total capital need 555.000
Suggested funding
Equipment supplier credit 30.000
Supplier credit 25.000
Cash credit 500.000
Total funding 555.000
BENDTSEN start og udvikling – www.janbendtsen.dk

6. 6 | How to present your startup budget
Sensitivity analysis
Scenario 1 Scenario 2 Scenario 3
Turnover 950.000 1.200.000 1.550.000
Cost of goods sold -285.000 -360.000 -465.000
Contribution margin 665.000 840.000 1.085
Wages -107.250 -143.000 -264.550
Premises -195.500 -215.500 -242.000
Sales and marketing -29.000 -35.500 -43.000
Administration costs -32.750 -34.300 -36.350
Total fixed costs -649.500 -788.300 -1.050.900
Earnings before depreciation 300.500 411.700 499.100
Depreciation -95.000 -100.000 -105.000
Earnings before interest 205.500 311.700 394.100
Interest -35.000 -35.000 -35.000
Net profit 170.500 276.700 359.100
BENDTSEN start og udvikling – www.janbendtsen.dk

7. 7 | How to present your startup budget
Notes
Contribution margin
% Scenario 1 Scenario 2 Scenario 3
Turnover, shop 800.000 1.000.000 1.200.000
Turnover, B-to-B 150.000 200.000 350.000
Total turnover 950.000 1.200.000 1.550.000
Cost of goods sold 30,0% -285.000 -360.000 -465.000
Contributin maring 665.000 840.000 1.085.000
Shop turnover/day 4.000 5.000 6.000
B-to-B turnover/week 3.750 5.000 8.750
Wages
Scenario 1 Scenario 2 Scenario 3
Wage -82.500 -110.000 -203.500
Other costs of staff 30,0% -24.750 -33.000 -61.050
Total costs of staff -107.250 -143.000 -264.550
Hours/week 15 20 37
BENDTSEN start og udvikling – www.janbendtsen.dk

8. 8 | How to present your startup budget
Costs
Scenario 1 Scenario 2 Scenario 3
Premises
Rent 165.000 180.000 200.000
Heating 12.000 13.500 15.000
Electricity 12.500 15.000 17.500
Common costs 3.000 3.000 3.000
Maintenance 1.500 2.500 5.000
Burglary insurance 1.500 1.500 1.500
Total cost of premises 195.500 215.500 242.000
Sales and marketing
Advertising and promotion 25.000 30.000 35.000
Gifts and flowers 500 500 500
Transport 3.500 5.000 7.500
Total sales costs 29.000 35.500 43.000
Administration costs
Freight and postage 250 300 350
Book keeping assistance 15.000 15.000 15.000
Phone 4.000 5.000 6.500
Subscription 1.500 1.500 1.500
Insurance 10.000 10.000 10.000
Office costs 2.000 2.500 3.000
Total administration costs 32.750 34.300 36.350
Depreciation
Equipment and interior 90.000 90.000 90.000
Minor assets 5.000 10.000 15.000
Total depreciation 95.000 100.000 105.000
BENDTSEN start og udvikling – www.janbendtsen.dk