The Gravy Truck POUTINERIE ON WHEELS

Who We Are

Products

Price  Competitive Pricing  Poutine ranges from $5.50 to $11  Fresh cut fries range from $3.00 to $6.00  Beverages cost $ $3.00  Estimated average purchase (Year 1): $10.00

Promotion

Profitability

Feasibility Year 1Year 2Year 3Year 4Year 5 Owners’ Salary60,00061,50063,03864,61366,229 Dividends--15,688 Total Owners’ Compensation 60,00061,50063,03864,61381,917

Critical Variables

Ride with us on the Gravy Truck!

Capital Budget 2015 Grumman Step Van and Conversion33,200 Kitchen Equipment38,860 Computer Equipment1,740 Total Capital Budget73,800

Financial Budget 2015 Bank debt54%40,000 Equity Investment46%33,800 Total73,800

Cash Flows

Break-Even Analysis

Sensitivity Analysis Customers Per DayAverage 5 year ProfitNet PaybackIRR 60$(5,140)$(28,367)-22.7% 65$1,425$(10,116)-3.3% 70$7,089$31,0939.9% 75$12,606$78, % 80$18,016$124, % 85$23,263$170,75848%

Sensitivity Analysis Average PurchaseAverage 5 year ProfitNet PaybackIRR $8.50$4,823$12,7124.1% $9.00$9,355$50, % $9.50$13,688$87, % $10.00$18,016$124, % $10.50$22,225$161, % $11.00$26,377$198, %

Risk Factors  # of customers per day most critical  Location planning and execution  Average purchase price  Increase in competition  Weather conditions  Ineffective marketing activities