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Table of Contents

Executive Summary ........................................................................................................................ 2 Venture Description ........................................................................................................................ 3 Goals/Objectives ............................................................................................................................. 3 External Analysis ............................................................................................................................ 4 Competitive Analysis ...................................................................................................................... 5 Consumer Analysis ......................................................................................................................... 7 Marketing ........................................................................................................................................ 8 Operations ..................................................................................................................................... 12 Human Resources ......................................................................................................................... 14 Finance .......................................................................................................................................... 16 Contingency Plan .......................................................................................................................... 23 Opportunities for Future Growth .................................................................................................. 24 Decision ........................................................................................................................................ 25 Exhibits ......................................................................................................................................... 27 Appendix A: Bibliography ............................................................................................................ 53 Appendix B: Financial Cost Sources ............................................................................................ 55

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Executive Summary Yo2Go is London, Ontario’s first personalized yogurt parfait shop, specializing in products that offer its consumers a healthy snack alternative. The business model compliments the “healthy lifestyle” that has become increasingly popular in recent years. Yo2Go differentiates itself from the competition by providing a healthy product that customers can customize to suit their specific needs. The storefront will be located at the Hylands Centre at the intersection of Richmond Street and Fanshawe Park Road. The expectation is to enter the already established frozen yogurt market, and appeal to customers with a distinguishable health-oriented approach. The primary long-term goal for Yo2Go is to open a second location in Talbot Village after the third fiscal year. Additionally, franchising the business and releasing new product lines are also distinct possibilities. Yo2Go’s established target market includes males and females aged 35-54 that live and work in the urban area surrounding the Yo2Go location. These individuals emphasize the importance of quality and nutrition more so than any other age group, and Yo2Go has the optimal product to meet these needs. Yo2Go offers the ideal product to meet consumers’ demand for healthy alternatives, and will provide the business with the opportunity to serve a large portion of the market in the foreseeable future. These current conditions paired with the growing health craze presents Yo2Go with an excellent environment to commence operations. Revenue will be entirely generated from in-store sales. Based on customer desires for optimal nutritional value, sales will be primarily driven by the purchasing of lower and non-fat yogurt options. A low weighted average variable cost of 35.27% is largely a consequence of all ingredients being bought in bulk and this fact, in tandem with competitive pricing, will translate to a steady and satisfactory stream of revenue.

Diverse marketing strategies will be employed to market Yo2Go’s product to its target audience within the local community. This includes common promotional methods such as Facebook and Canada Post mail-outs, but is further enhanced by a partnership with Rev3K’s personalized fitness facility and a stamp card reward system. Each approach comes at a relatively minimal cost and as a whole will only account for a 7% allocation of the total fixed cost cash budget. Operations will largely drive the success of Yo2Go and the vast majority of these operations will take place day-to-day in-store. The focus will be to efficiently accomplish all tasks related to running the business while simultaneously maintaining a superior level of customer service. Extensive training will be mandatory for all employees to ensure that the products and customers interactive experience are meeting Yo2Go’s high quality standards. All managerial responsibilities such as supervision and training of employees will be allocated to the owners. Intensive training will take place prior to the first day of the business’ grand opening, in order to ensure the staff is capable of operating Yo2Go competently.

Ultimately, financial projections have indicated the likelihood of success, and therefore Yo2Go is a feasible venture. Expected net income after the third year of operations is estimated to range between $67,769 and $118,226, leaving the owners of Yo2Go optimistic about the future of the venture. Market permitting, retained earnings will be allocated towards meeting long-term goals and the future expansion of the business.

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Venture Description

Yo2Go specializes in providing a variety of high quality yogurt, as a healthy alternative to other

snacks. The company aims to integrate sustenance into a delectable snack, giving customers the

best of both worlds. With the rising awareness of health, people are more conscious about their

consumption of foods. In addition to a variety of toppings, the wide range of yogurts gives

customers an amalgam of options to create the best-personalized healthy parfait. Customers are

able to mix any yogurt base with toppings as they please, thus encouraging consumer

involvement and interaction, creating a unique store experience.

Goal/Objectives

Yo2Go’s vision is to encourage healthy lifestyles by providing yogurt for everyone in a positive

and fun atmosphere. The company hopes to begin operations in April of 2016 before the

projected busy summer months. The owners’ aim is to increase their network base within the

food and health industry, while gaining entrepreneurial experience for future potential ventures.

With a long-term goal to expand operations to additional locations, Yo2Go’s owners aim is to

create a self-sustaining business, so their primary responsibility will be overseeing the operations

of the company as a whole in the future. The owners hope to earn a cumulative salary of $60,000

each year. In addition, the organization has a financial goal of making a $10,000 profit for the

first year. With this goal, the organization aims to increase profits by 30% each year and pay off

the bank loan as soon as possible. Achieving these objectives will demonstrate that Yo2Go is

able to generate a profit, and establish itself as a key figure in the competitive market. A

thorough quantitative and qualitative analysis has been executed to portray Yo2Go’s steps in

achieving the company’s goals.

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External Analysis

Political

Since Yo2Go is a self-service food store, the organization is subject to Canadian laws and

regulations. Yo2Go will incur licensing fees (Exhibit 14), since the business is opening a brand

new location. Registration of a business name costs $601 and is required by Service Ontario1; this

registration is valid for five years. Since Yo2Go will be providing food, it is also subject to food

inspections by the Canadian Food Inspection Agency2 at a cost of $895/year. Therefore, it is

essential that Yo2Go products are produced in a clean environment, and all employees are

following proper health regulations implemented by Health Canada, as outlined in the operations

manual (Exhibit 1). Due to a change in political government, small business taxes will reduce

from 11% to 9%3 thus reducing costs for the company. Furthermore, Trudeau’s pledge to cut the

middle class income tax rate from 22% to 20.5%3 will result in an increase of disposable income

for a large portion of Yo2Go’s target market.

Social/Economics

Market trends demonstrate a promising future for Yo2Go over the next 10 years. On average,

Canadian households spend $7,980 per year on food, which is roughly 13.6% of their total

expenditures4. Of this food expenditure, 2.7% was spent on alternative food sources in 2012, but

increased to 3.3% in 2014. Therefore, as time progresses consumers are more willing to spend

more money towards a healthier option5. 20.7% of Canadians would like to adopt a healthier

lifestyle6. The trends are moving in an upward motion and align with the company’s vision

providing a great opportunity for Yo2Go to enter the market.

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Technological

Currently advanced food technology is not necessary for Yo2Go’s operations as the yogurt will

be simply refrigerated and served. Yogurt dispensing machines will not be utilized as Yo2Go

only has five yogurt types available. They are extremely expensive for the little convenience they

provide and are therefore unnecessary.

Industry Analysis

Yogurt is very popular in North America, with 58% of individuals consuming yogurt in 2014.7

This statistic has changed minimally over the past 4 years, with the most significant difference

being a 2% increase from 2013 to 2014.7 Based on these past statistics, yogurt is a staple food for

the majority of the population’s diet, and is not vulnerable to trending out of popularity. In

addition, yogurt stores generate $1.9 billion in revenue in the US alone, a booming industry that

is still growing rapidly in both America and Canada.8 Therefore, it is promising for Yo2Go to

launch the product during this time as the market is expected to continue to grow rapidly.

Competitive Analysis

Supermarkets

Supermarkets offer a variety of options for fresh and quality ingredients. They import these from

wholesalers or directly from manufacturers. Supermarkets such as Metro, Loblaws, and Sobeys

carry brands that consumers recognize and prefer, however, Yo2Go provides the convenience of

not having to prepare the ingredients by offering a product that is readily available. Although

Yo2Go’s prices are relatively higher in comparison to consumers who purchase their own

ingredients to create yogurt parfaits, consumers that choose Yo2Go can enjoy the convenience of

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not having to buy ingredients in bulk. Supermarkets focus on the variety and prices of their

products, leaving Yo2Go with the advantage of providing convenience and self-service.

Frozen Yogurt Franchises

Even though Yo2Go offers a unique product, frozen yogurt franchises such as Menchies, Yogen

Fruz, and Yogurty’s are the company’s direct competitors. For example, Menchies strives for

efficiency, fun, and health.9 They offer a custom blend of frozen yogurt flavours and a variety of

toppings such as candy, fruits, and syrups. Since Yo2Go offers organic and healthy toppings,

consumers will choose YoGo when they are looking for a healthy snack. Although Menchies

advertises their product as a healthy alternative to ice cream, Yo2Go will be an alternative to

Menchies for people who find Menchies too high in sugar content. Menchies targets children and

people looking for a sweet dessert9, giving Yo2Go an advantage with the primary target group of

consumers aged 35-54.

Food Chains

McDonald’s and Tim Horton’s are Canada’s most popular food and beverage franchises. They

offer consumers a variety of foods for meals and snacks, including on-the-go fruit and yogurt

parfaits at a low cost. These franchises are considered to be indirect competitors. Consumers who

desire a quick ready-made snack would normally opt for the above options. Consumers now

have the option of an on-the-go snack that is cost effective, customizable to their preferences,

and a healthier alternative.

Competitive Advantage

Yo2Go’s competitive advantage is their ability to provide customizable yogurt parfaits in a

convenient manner. Customers will choose Yo2Go to enhance their healthy active lifestyles. In

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addition, consumers who do not wish to buy ingredients in bulk will prefer going to Yo2Go

where there are a variety of ingredients and toppings readily prepared and available.

Consumer Analysis

Identifying Customers

The market research analysis reveals that yogurt preference is highest for those aged 35-54.10

Specifically, 30% of this age group considers themselves to be yogurt “enthusiasts”, while 22%

considers themselves “health-aware”10. Therefore, the primary target market will be adults aged

35-54, as this age group demonstrates the most interest in a yogurt snack and a healthy lifestyle.

Customer Needs

Customers strive for quality healthy foods at a convenience, and statistics show that

33% of consumers are snacking on healthier foods, and 60% wish there were healthier snack

options11 Yo2Go meets these consumer needs as they fill the gap that currently exists in the

market. A survey conducted shows that potential customers are willing to spend $6-$10 on a

snack such as a yogurt product (Exhibit 2), and Yo2Go has responded by pricing the product

within this range. Statistics show that individuals would prefer a customizable yogurt parfait over

an alternative fixed option (Exhibit 2), implying that a large majority of existing yogurt

consumers would potentially purchase this product as well. Traditionally, customers purchase the

ingredients for their yogurt parfait in bulk and individually. With Yo2Go as an option,

consumers can personalize their parfaits with ingredients that are already prepared for them. As

shown in the survey, consumers look for variety when making their parfait, therefore Yo2Go will

offer a wide range of toppings to satisfy this need (Exhibit 2). This product simultaneously

satisfies consumer demands. The customer will have to adjust their routines nominally to acquire

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the benefits of this product by visiting Yo2Go rather than a grocery store or another similar

snack establishment.

Marketing

Place

Yo2Go’s is located at Unit 103, 1737 Richmond Street, London, ON N5X 3Y2. This is situated

at the Hylands Centre, which is at the corner of Richmond Street and Fanshawe Park Road. This

plaza comprises of SportChek, Goodlife Fitness, and Combine Centre12, which are all stores that

promote healthy active living, and align with Yo2Go’s vision. Due to its prominent location,

consumers are likely to visit the store. Yo2Go’s location is situated in an area with established

residential neighbourhoods. Currently, over 3,800 families live in the area stretching from

Sunningdale to Masonville – with the average annual income for this area being over $60,000.25

This demonstrates that a market with a steady income exists in the area and creates an

opportunity for Yo2Go to meet these potential customer’s needs. Currently in the Sunningdale

area, residential homes are being developed by Corlon Properties13. This company made their

phase 1 and 2 lots available to the public since the spring of 2012 and a catholic elementary

school is expected to open nearby as well (Exhibit 3). With the growth of this community,

Yo2Go is expecting an increase in customer flow within the next three years.

Price

Customers have a choice between 4-cup sizes, however the parfait cost will be calculated by a

pricing of $2.99 per 100 grams. This is an all-inclusive price, meaning any additional toppings

plus the yogurt base will be combined and weighed to generate the final cost for each customer’s

specialized Yogurt Parfait. For a full breakdown of pricing, refer to Exhibit 10 for Yo2Go’s in

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store menu. The target market is not considered to be price sensitive, as it will primarily be

comprised of families who have established a steady net income.25 Yo2Go believes that the

primary market will have a concrete disposable income, and be willing to spend their income on

a premium product as a healthy alternative to other snacks. With the added benefit of the stamp

cards, there is an incentive for consumers to consistently visit Yo2Go in order to earn a $5 credit

to their next purchase.

Product

Compared to other frozen yogurt franchises, Yo2Go’s product is lower in calories, and higher in

nutrients14. Yo2Go satisfies the diverse tastes of the target market by giving consumers the

option of an assortment of condiments to choose from including: fresh berries, oats, dark

chocolate, and honey. Market trends demonstrate that there will be a continued interest in yogurt

due to its healthy aspect within the upcoming years.15 Therefore Yo2Go will serve Plain, non-fat

0% Greek yogurt, low fat plain 2% yogurt, no fat 0% plain yogurt, vanilla Greek yogurt, and

non-fat vanilla Greek yogurt. Four cup serving sizes will be offered including a small (200g),

medium (350g), large (500g), and family size (700g).

Promotion/Advertising

Yo2Go’s marketing budget is set at $8500 per year. The company feels this is a workable budget

capable of fulfilling Yo2Go’s marketing and promotional objectives. Included in our marketing

plan is a cost-free partnership that Yo2Go has established, advertisements through stamp cards,

Canada post mail outs of informative pamphlets, Facebook presence, and the company’s website.

These promotional strategies will enhance Yo2Go’s brand image and help expand future

customer growth.

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Rev3K

Rev3K is one of the most well known fitness facilities in London and has an established client

base that fits the age range of the company's desired target market. Yo2Go has established a

mutually beneficial partnership with Rev3K at no additional cost (Exhibit 11). The personal

trainers have agreed to recommend Yo2Go’s product along with promotional materials

(Exhibit5). Through personalized training regimes and programs such as the Biggest Loser,

trainers will work with their clients achieving their fitness goals by setting up nutrition plans.

These nutrition plans will include a recommended weekly intake of Yo2Go’s products. As

demonstrated in Exhibit 6, Yo2Go is conveniently situated between the two Rev3K locations

providing convenience and accessibility for all Rev3K and Yo2Go customers. Rev3K’s mission

statement, which outlines the importance of training the individual and their body to understand

what foods will keep them healthy, directly correlates with the company’s product16

Stamp Cards

The Yo2Go stamp cards are a promotional strategy that encourages customers to visit the store

again. As shown in Exhibit 7, it is a stamp card that will be given to customers that make a

purchase at Yo2Go. Customers will receive a stamp for every purchase over $5 and when the

customer reaches their 10th stamp, they will receive a store credit of $5 for their next purchase.

This urges the customer to come back to the store and collect stamps. Lastly, with this card, it

also acts as a print advertisement. When customers are reminded of their previous purchase at

Yo2Go, they will be motivated to visit Yo2Go to obtain their 10th stamp. VistaPrint will print

1000 stamp cards for the grand opening of the store at a total cost of $120 per year (Exhibit 2).

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Canada Post Mail-Outs

Yo2Go will be mailing 6x9 inch informative pamphlets (Exhibit 5) delivered by Canada Post. A

3-kilometer radius has been established to reach a total of 10,312 houses located in

neighbourhoods that contain a high density of the desired target market (Exhibit 8). This allows

the company to effectively target a large number of potential customers and filter out the

neighbourhoods containing a low percentage of the target market. Mail outs will be conducted

semi-annually, once prior to the grand opening and again 6 months later. This raises awareness

of the brand and helps the venture gain recognition within the surrounding community. The cost

of this promotional plan, which includes printing and delivery service costs, will amount to

$3,402.96 per mail out ($6,085.92 per annum) (Exhibit 17). The company believes this

promotion will reach the greater London area.

Facebook

A thorough research revealed that the Facebook age demographic from 34-55 years had the

highest user base of 31.1% in 201417. This increase in Facebook usage provides a viable avenue

for Yo2Go to reach its target market. The company will reserve the ability to specifically target

an audience by age and gender in the location they desire. By allocating $9.00 a day from the

company budget ($2,285 per annum) the company will have a potential reach of 76,000

impressions within a 20-mile radius of the Yo2Go location. It is estimated that the Facebook

advertisement will have an estimated daily reach of 6,900 men and women from the ages of 34 to

55 years of age. This demonstrates that Facebook is essential to the company’s marketing

campaign as the advertisements are effectively reaching a large portion of the target market.

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Website

The website will managed by Ms. Chan free of cost. (Exhibit 13) The website will allow

customers to use an online platform to access promotional offers, contact information, hours of

operations, and to give their feedback and suggestions. Having a noticeable online presence

ensures that customer service extends past the shop and into the customers’ homes.

Operations

Equipment

Since Yo2Go is a self-serve yogurt store, yogurt will be accessible in a refrigerated topping bar.

The refrigerated pan, model RM3, purchased from Turnkey Parlour (Exhibit 14) at a cost of

$3919, which includes shipping and the $75 border brokerage fee, as the equipment is being

shipped from North Carolina. Yo2Go requires two refrigerated bars, one for the yogurt and one

for the toppings. Running Yo2Go will require refrigerators to preserve the extra yogurt in a cold

environment. The refrigerator includes a 1-year warranty and has an estimated delivery time of

approximately 4-10 days. Since there will be some toppings that can be kept at room

temperature, the company will also be purchasing extra containers to store these toppings.

Yo2Go will invest in yogurt scoops, condiment scoops, knives, and other utensils. To maintain

the cleanliness of Yo2Go, a dishwasher will be purchased to keep the scoops and other utensils

clean daily. Furthermore, Yo2Go will need to purchase scales to measure the weight to calculate

the price of every customer’s personalized yogurt parfait. An efficient point of sale system to

ensure accurate sales and maintain inventory count will also be necessary. This point of sale

system should include a cash register and be compatible with Visa, MasterCard, Debit, and Cash.

To ensure that the store complies with the Health and Promotion Act, owners will contact the

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Middlesex-London Health Unit to perform an inspection before the store opening.18 Two tables

and six chairs will also be utilized, giving customers the option of dining in-store.

Suppliers

Yogurt will be purchased in bulk from Skotidakis and the company will restock Yo2Go’s yogurt

products once every week.19 The company has negotiated a reasonable price for the base yogurts

with Skotidakis (Exhibit 16), and the price of the yogurt includes the delivery costs.19 The

toppings will be purchased from Yupik at $11.80/100 grams. (Exhibit 16). Delivery is free of

charge and Yupik will deliver toppings to the store once every two weeks.20 Suppliers are chosen

based on lowest cost to ensure that Yo2Go will provide quality products at a profitable price.

Operations Manual

The manual includes instructions for the operations in the store (Exhibit 1). The operational

manual ensures the standardization of the store policies and employee expectations. All

employees will be required to read through the manual and agree to the policies by filling out a

contract. In addition, Yo2Go’s operational manual will provide standards that meet the Ontario

Food and Safety Protocol and the Ontario Food Premises Regulation under the Health Protection

and Promotion Act 21 , which indicate the standards for food temperature, food handling,

sanitation, dishwashing, and personal hygiene practices. To ensure workplace safety, information

on Workplace Hazardous Materials Information System (WHMIS) and the Employment

Standards Act (ESA) will also be included. The manual will allow the owners to have established

standards that apply to Yo2Go’s day-to-day operations, and act as a resource for employees and

owners to turn to.

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Human Resources

Human Resource Capabilities

Yo2Go believes that a store manager will not be necessary due to the sales operations. Instead

the co-owners of the Yo2Go establishment will take on these managerial responsibilities. The

company’s unique interactive process of creating custom parfaits results in customers requiring

very little assistance from staff. Ms. Chan’s experience with web design and proficiency in

editing programs, such as Photoshop and Illustrator, is an invaluable asset to Yo2Go’s

marketing. Mr. Fuca’s profound knowledge and insight of the fitness industry can provide

suggestion to Yo2Go’s ongoing operations. Mr. Fuca will also develop the appropriate

advertising strategies to establish a customer clientele. In addition, both owners have adequate

knowledge in accounting and finance, thus they will handle Yo2Go’s financial recording for

ongoing operations. Although both owners lack the experience in dealing with direct food

service and possess minimal experience with retail sales, the operation style of Yo2Go can

accommodate such disadvantages due to the high customer autonomy in the sales process.

Resumes for both owners can be found in (Exhibit 12). The trained part-time staff will help

support the owners in the overall operations of the business, as they will be taking on the more

menial tasks of Yo2Go’s store operations.

Ownership Management

Yo2Go will operate as a Canadian Privately-Controlled Corporation (CPCC) as it is owned by

Canadian residents and not publicly traded. Being a CPCC, the business will be eligible for the

federally offered small business deduction,22 reducing corporate income taxes. Ms. Chan will be

responsible for designing the promotional material and the website. Mr. Fuca will handle the

hiring of employees and various other administrative duties, including managing the finances

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and advertising strategies for the Yo2Go company. The roles of both owners will be to oversee

the main operations of the business, without being heavily involved in the hands-on aspect of

day-to-day processes. The owners’ presence will provide a leadership role for employees and

ensure optimal customer satisfaction during day-to-day operations.

Staffing

Owners will be in charge of the management and training of part-time staff. All training of staff

will be completed prior to opening day in order to ensure operations run smoothly. Prior to their

initial shift, staff will be trained on proper cleaning procedures and how to operate the topping

bar. Since the company will be using a point of sale system, staff will have to be trained on how

to make credit and Interac sales.23 To ensure that the business is engaging in secure quality

assurance practices, owners will be teaching employees how to operate the safe as well as

maintain a minimum balance of $300 in the cash float at all times. As the organization develops,

management will consider different needs and requirements that are necessary to meeting future

changes in firm requirements.

Part-time employees will earn a wage of $11.25 as subject to the Ministry of Labour standards24.

Four part-time staff will be hired and scheduled for approximately 20 hours a week per employee

(Exhibit 9) Daily operations will always require one owner and one part time staff associate per

shift. A normal shift will consist of one part-time employee whose responsibilities will entail

operating the cash register and refilling the topping bar. The owner on site will assist with store

functions when not overseeing bookkeeping and other managerial responsibilities.

Staff working morning shifts will be required to display the yogurt and condiments in a

presentable manner as well as setting up of the cash register. At close, employees will be trusted

with store maintenance including cleaning of the topping bar and washrooms, closing the

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register, and ultimately ensuring that the store is prepared for the next day’s operations. Each

owner will be dedicating approximately 60 hours a week at the store. (Exhibit 9). As Yo2Go

raises more capital, the owners will be able to reduce their hours worked and hire additional part

time staff. Through the owners’ heavy involvement, they can manage operations and take a more

involved role when working with the part-time employees. This will also help build a strong

employer-employee relationship and ensure that operations are meeting quality assurance

standards.

Finance

Initial Investment

Yo2Go’s start up cost includes expenses necessary to build a business efficient in its day-to-day

operations. These expenses include the following items:

· Topping bar: for yogurt and toppings

· Refrigerator: to store and keep all the ingredients fresh

· Non-commercial Dishwasher

Additionally, our initial investment includes office items, prepping supplies, and signage costs.

All social media and website management will be managed by the owner, Christina Chan, free of

charge. Thus, the total initial investment will be $50,000. (Exhibit 14).

Capital Financing

In financing Yo2Go’s operations, the company will be approved for a $50,000 bank loan from

The Royal Bank of Canada. This bank loan will come with a long-term obligation of 10 years.

The company’s goal is to pay the remaining balance of the bank loan as quickly as possible.

Thus, by the end of the second year of operations, the bank loan should be fully paid off.

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(Exhibit 19) In the case of Yo2Go being unable to meet the forecasted sales goal, the business

will focus on paying off the bank loan before recognizing profits. With the bank loan paid off in

such a short period of time, it demonstrates the efficiency of the business, which gives Yo2Go a

better image for future investors.

Income Statement Analysis

Yo2Go’s income statement reveals that the company will have an expected low-end profit of

over $1,871.67 during the first year of operations (Exhibit 18). Even though Yo2Go is expected

to earn a profit they will need to take into consideration the competitive market in which they

will be entering. By the end of the first year, Yo2Go is expected to obtain a 5% – 7% market

penetration. With increase in brand image over time, Yo2Go owners believe that this percentage

of market penetration will increase in the coming years. A few of the company’s largest expenses

include rent, payroll, and sales discount. The payroll includes both the owners’ salaries and the

part-time employees’ wages. As demonstrated in Exhibit 21, sales will be growing on average at

23.2% while payroll and rent expense remains stagnant. This exponential growth in sales will

compensate for these large expenses. The promotional stamp cards offered by Yo2Go are the

primary contribution for the sales discount account. As such, customers receive a $5 discount for

every 10th purchase. For this cost, the company accounted for a 6% redemption rate for this

promotion. Yo2Go expects that this number will increase as brand image improves over time. In

terms of the company’s largest inflows, Yo2Go believes that most customers will purchase the

product at a weight range of 350 grams to 700 grams; this accounts for 59% of the total sales.

(Exhibit 18) Yo2Go anticipates that this is amount is consistent with what the target market

prefers as proven in survey results found in Exhibit 2. These sales projections are based on

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conservative sales forecasts, and the owners will consistently monitor the ongoing revenue and

expense figures while adjusting statements accordingly.

Sales Forecast Methodology

The company performed a thorough demographic analysis in the London area in order to

determine projected sales volumes25. There are a total of 366,150 people in London and 28%

(103,095 individuals) of the population falls into the company’s target market range of ages 34-

5426. About 2.7% of the target market lives in the Masonville area, which is equivalent to an

estimated 2,786 individuals (Exhibit 22). According to Stats Canada, the average percentage of

the market captured through yogurt sales is approximately 6%-9%27Yo2Go believes that it is

more appropriate to have a conservative market penetration rate, so the company feels that a low

of 5%-7% more accurately reflects the company’s potential customer outreach throughout the

three years (Exhibit 17). For the high, Yo2Go will be using Stats Canada’s result for the sales

projection.

According to the survey, 60% of the respondents stated they would purchase snacks over 3 times

each month (Exhibit 2) which is consistent with the company’s consumer behaviour research

results. For consumers in the surrounding area and the rest of the London area, the frequency is

once per 2 weeks and once per 2 months respectively.28

The respondents of the survey showed strong preferences towards purchasing snacks with a price

range of $6-$10, which is equivalent to the pricing of Yo2Go’s medium size of 200g-350g.

Therefore, when calculating the projected sales, the company used these statistics to determine

the final value. Taking the number of people reached from the market penetration rate and

multiplying it by the purchase frequency, results in Yo2Go’s projected annual volume of yogurt

parfaits sold. Using this value, it was multiplied by the average grams purchased and then

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multiplied by $2.99 per 100 gram for the first year-end sales of a low $224,123 and high

$240,929 (Exhibit 23).

Fixed Costs

The bulk of the company’s fixed costs are comprised mainly of salaries and wages, rent, and

marketing efforts, with corresponding proportions of 67.64%, 22.38%, and 6.91% (Exhibit 15).

In order to provide the convenience of always being accessible to consumers, Yo2Go has long

hours of operation resulting in large salaries and wages expenses. Rent is a large cost as well

because the location of Yo2Go is in a high traffic area. To effectively launch the company,

Yo2Go incurs large marketing expenses to ensure that it creates brand recognition and exposure

in the market. Various equipment and kitchen tools will also be required to effectively operate

the business (Exhibit 15). In accordance with the Bureau of Economic Analysis Depreciation

Estimates29, fixed assets will be amortized using the straight-line method as demonstrated in

Exhibit 14.

Variable Costs

The costs for the yogurt itself are broken down with prices corresponding to those of Skotidakis.

Refer to Exhibit 16, for a full breakdown of each yogurt type’s unit cost. The yogurt serves as the

highest variable cost for the company since 75% of the parfait consists of yogurt. The

customized cups are used for brand recognition, and serves as the second largest variable cost

source at 10.20% (Exhibit 15). These cups will be purchased from The Cup Store and create a

professional image for the company30. Yo2Go’s toppings will be purchased from Yupik, a family

business that offers a variety of high-quality and healthy ingredients. It is estimated that each

consumers’ individual parfait will consist of 25% toppings. Although the fresh fruit toppings

accounts for the largest variable cost of $7.75 per 100g, Yo2Go prides itself on fresh ingredients

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and 33% of survey respondents prefer fresh fruit toppings to the other toppings (Exhibit 2). With

Yo2Go’s aim to keep prices low and quality high, the company is able to yield a 64.63%

contribution margin to its revenue. This is a very strong contribution rate as it means that only

36% is contributing to the variable costs. The remaining amount will be allocated to paying off

the company’s additional expenses.

Cash Budget Analysis

An assessment of the first year low cash budget reveals that Yo2Go expects the highest cash

outflow of $48,667 during the first month of operations (Exhibit 17). This is primarily due to the

initial investment costs, which includes renovation costs, fixed assets, and inventory. To

accommodate such costs and cover the initial investment expenses, the owners of Yo2Go

decided to finance the company through a $50,000 bank loan (Exhibit 17). Most of the fixed

costs are spread evenly during the fiscal period, except for the marketing initiatives, which are

conducted semi-annually. Under the low-end sales projection, Yo2Go is expected to undergo 7

months of negative cash flow in the first year of operations while maintaining a positive cash

flow on-hand (Exhibit 17). March is anticipated to have the largest negative net cash flow, as the

company wants to repay the bank loan with all excess cash flow at the end of the year, to

minimize loan interest payable in the subsequent year.

Fixed costs in the first year high projection will remain the same as the low-end projection costs.

Yo2Go is expecting a higher cash inflow with regards to the higher brand exposure rate. The

increase in sales will generate more cash inflow resulting in two months of negative net cash

flow only. This is a positive observation for the company as it means that will be able to repay a

larger portion of bank loan. Interest rate and income tax payable will be paid off in the first

21

month of the subsequent fiscal period, therefore there are no relevant accounts contributing to the

cash outflow in the first year of operations.

Under both the low and high scenarios of the sales projection, Yo2Go is predicted to continue in

sales growth and sustainable cash inflow in the second and third year due to the increase in brand

recognition, and customer base. However, the low-end projection reveals that Yo2Go will be

unable to fully repay the bank loan, as it will have an $8742 remaining balance, which will

consequently contribute to the interest payable in the third year (Exhibit 17). In the high-end

projection, the company will be capable of repaying the outstanding bank loan with a $30,765

net cash flow (Exhibit 19). The thorough assessment conducted of Yo2Go’s cash budget reveals

that there will be a $20,000 and $82,184 net cash flow in the low-end scenario, and a $30,765

and $154,565 net cash flow in the high-end scenario for the second and third year respectively

(Exhibit 17). This demonstrates a promising profitability and future in the market for the

company.

Balance Sheet Analysis

Yo2Go’s assets consist of a minimum cash float of $20,000, inventory, business license, fixed

assets, and renovations. The business license has an indefinite life as long as the business

incorporates year after year. The license renewal fees will be paid as an expense in the each of

the subsequent years. For fixed assets and renovations, Yo2Go used straight-line depreciation

with a corresponding useful life schedule. (Exhibit 15) The owners of Yo2Go decided to finance

the business through a bank loan from the Canada Small Business Financing Program at an

annual interest rate of 5.7% from the Royal Bank of Canada.31 The owners have decided to repay

the bank loan as quickly as possible with annual profits, while maintaining the minimum cash

float at the end of each fiscal year. By the end of the second year of operations, the bank loan

22

will be paid off in full. At fiscal year end, the company is expected to close with two separate

accounts payables. The first will be the income tax payable from the previous fiscal year, and the

second will be the bank loan interest payable based on the outstanding balance at the fiscal year

end. Both accounts are expected to be paid off during the first month of the following 2017-2018

fiscal year. Additionally, there will be no dividends payable, as Yo2Go has not been financed

through equity thus far.

Breakeven Analysis

Yo2Go will be focusing on a conservative breakeven analysis; this is based on the low-end

calculations. As a result, the company will have a weighted average contribution margin of

64.73% with a fixed cost of $125,327.58. At the end of the first year, the company’s breakeven

sales will be $193,605.76, which will increase by 1.99% and 1.60% in year 2 and 3 respectively

(Exhibit 20). The projected sales necessary to cover Yo2Go’s fixed costs in the first year is

$224,123.87. The sales growth for the company will be an average of 23.2% for year 2 and 3.

The margin of safety in the first year will be 13.62% and will increase by 1.22% and 1.42% for

year 2 and 3 respectively. This number demonstrates that if sales projections were to decrease by

13.62%, the company will still be able to breakeven, which is incredibly promising as it

demonstrates a safety net for risk. In terms of the cash breakeven analysis, the company’s margin

of safety in the first year will be 15.01% and will increase by 1.10% and by 0.39% moving

forward. This is shown in Exhibit 20. This number demonstrates that if sales projections were to

decrease by 15.01%, the company can still cover the cash fixed costs.

23

Contingency Plan

Sales Contingency

The company recognizes that there may be a deviation in its sales during the winter months. The

distribution of healthy food is not as convenient during this time as people are less willing to go

out to purchase a snack. Furthermore, yogurt is a cold snack, which may not be desirable for

some customers. As a result, customers will be less motivated to travel to Yo2Go. This is

anticipated to consist of a small proportion of the total customer base. The reasoning for this is

that the customer base is comprised mostly of health-oriented individuals, who will make the

effort to pursue healthier food options in order to maintain their healthy lifestyle. In order to

ensure as little deviation in sales as possible, the owners of Yo2Go will consider promotional

discounts over the winter months. These promotions are still yet to be finalized given that the

company needs concrete sales figures of the winter months before a decision is made.

Inventory Contingency

As part of the day-to-day operations, there is a constant use of fresh foods. Being a personalized

yogurt parfait shop the company has to ensure that customers’ are enticed by the freshness of the

ingredients that are offered. Due to this, a scenario could arise where the on-hand inventory

could be spoiled or the store may go out of power. If such an event does occur, the cash float on

hand would be used to purchase fresh new foods to act as an emergency inventory until the

owners can get in contact with Skotidakis or Yupik suppliers. As such, the decrease in the

company’s cash float will affect the year-end financials conservatively within the first two years

of operations. However, by the end of the third year Yo2Go will have a sufficient amount of cash

on hand to compensate for any unexpected complications. (Exhibit 18)

24

Opportunities for Future Growth

Expansion

Yo2Go hopes to open new store locations within London and beyond. An example of a local

area to look at in the future would be Talbot Village, in the Byron and Lambeth area. This

geographic area offers a similar demographic to the current location, and the success of the

flagship store will serve as a model for future stores to come. Once this new location is open, the

owners will individually run separate locations. Expanding within London would be ideal in the

initial stages, as expenses and other variable factors would be consistent with the original store.

After establishing a strong customer base in London, Yo2Go plans to penetrate into the Greater

Toronto Area.

Diversifying Yo2Go’s Product

Another form of growth in consideration would be to offer more combinations of yogurt parfaits

to customers. The most viable way of doing this would be to create special combinations of

parfaits specific to holidays. Examples would be pumpkin flavoured yogurts for Halloween or

chocolate for Valentine’s Day. These holiday-exclusives would only be available for a limited

time providing customers with an incentive to return to the shop. Yo2Go will continue to assess

consumer trends to adapt to any future changes in consumer preferences.

Franchising

To achieve Yo2Go’s goal of expanding in the future, franchising serves as a promising option for

the company. Franchising eliminates the need for the company to fund more locations internally,

as the investors will be required to cover all the start-up costs. This method of expansion would

be beneficial in that it would offer further brand recognition and revenue in the form of royalties.

Royalty figures would depend on the circumstances and would likely increase as more

25

franchisees are established. However, Yo2Go must consider that the company would be at risk of

tarnishing of the company image and loss of complete control.

Decision

A comprehensive analysis of Yo2Go’s qualitative and quantitative factors reveals that the

company is a feasible venture. By emphasizing Yo2Go’s competitive advantages, Yo2Go will be

able to effectively compete in the market. In the low sales forecast, the business will still be able

to break-even, while providing the owners with a salary of $30,000 each. Profit is also expected

to increase by 30% annually, demonstrating a promising future for the company. The

promotional avenues chosen for Yo2Go will effectively reach the desired target market, and

result in a net sales figure of $224,123 to $240, 929 for the company during the first year. All of

the goals and objectives set forth are expected to be fulfilled, and will therefore establish Yo2Go

as a prominent organization in the ever-changing market.

Endnote1 https://www.ontario.ca/page/business-name-registration 2 http://www.inspection.gc.ca/food/information-for-consumers/food-safety-1 https://www.ontario.ca/page/business-name-registration 2 http://www.inspection.gc.ca/food/information-for-consumers/food-safety-investigations/eng/1332299626115/1332299812611 3 http://www.torontosun.com/2015/10/23/trudeau-tax-changes-a-mixed-bag 4 http://www.statcan.gc.ca/daily-quotidien/150122/dq150122b-eng.htm 5 http://www.fitness.gov/eat-healthy/why-is-it-important/ 6 https://www.kmrsoftware.net/netquestapp/pmbquickreports/default.aspx 7 http://academic.mintel.com.proxy1.lib.uwo.ca/display/745719/ 8 http://clients1.ibisworld.com/reports/us/industry/ataglance.aspx?entid=4323 9 http://www.menchies.ca/frozen-yogurt-store-vision 10 http://academic.mintel.com.proxy1.lib.uwo.ca/display/714282/ 11 http://www.mintel.com/press-centre/food-and-drink/a-snacking-nation-94-of-americans-snack-daily 12 http://bentallkennedy.com/pdf/retail/Hylands_Centre.pdf 13 http://www.sunningdalehome.com/loc_meadowlands_faq.shtm 14 http://www.goodhousekeeping.com/health/diet-nutrition/a20979/frozen-regular-yogurt-1001/ 15 http://academic.mintel.com/display/745700/?highlight#hit1 16 http://rev3k.com

26

17 http://jetscram.com/blog/industry-news/social-media-user-statistics-and-age-demographics-2014/#sthash.WoYS4YgQ.dpuf 18 https://www.healthunit.com/food-safety-inspections). 19 Sales Representative from Skotidakis 20 http://www.yupik.ca 21http://www.health.gov.on.ca/en/pro/programs/publichealth/oph_standards/foodsafety.aspx 22 http://sbinfocanada.about.com/od/corporatetax/a/ccpcadvantages.htm 23 http://www.hc-sc.gc.ca/ewh-semt/occup-travail/whmis-simdut/index-eng.php 24 http://www.labour.gov.on.ca/english/es/pubs/guide/minwage.php 25 https://www.london.ca/About-London/community-statistics/neighbourhood-profiles/Pages/North-West-London.aspx 26 https://www12.statcan.gc.ca/census-recensement/2011/as-sa/fogs-spg/Facts-csd-eng.cfm?LANG=Eng&GK=CSD&GC=3539036 27http://clients1.ibisworld.ca/processlogin.aspx?ip=1&lvp=1&u=RYyJlK4JaxJUDTVAdLwx2Q==&p=8+ZIUKWA+lGByXR6R2FKeg==&ns=1 28 http://academic.mintel.com.proxy1.lib.uwo.ca/display/714276/ ) 29 (http://www.bea.gov/national/FA2004/Tablecandtext.pdf) 30 http://thecupstore.ca 31 https://www.ic.gc.ca/eic/site/csbfp-pfpec.nsf/eng/h_la02855.html

EXHIBITS Exhibit1:OperationalManualOperationalManualTableofContents1.AboutYo2Go 1.1CompanyMissionStatement 1.2CompanyVisionStatement 1.3CompanyProducts2.OperationsandMaintenance: 2.1OrganizationChart

2.2GeneralHousekeeping2.3OpeningProcedures2.4ClosingProcedures2.5CleaningProcedures2.6MiscellaneousStoreProcedures2.7HandlingTypicalComplaintsandProblems

3.HumanResources3.1JobDescriptions3.2ContactInformation3.3Suppliers3.4Schedules3.5Uniformsand

4.CrisisManagementPlan 4.1CrisisManagementTeam 4.2CrisisManagementTraining 4.3Fire,Robbery5.Machines:YogurtMachines6.InventoryProcedure7.EmployeeHygieneandTraining 7.1Introduction 7.2Procedures 7.21Hygiene

Clothing Grooming HealthCondition 7.22Behaviour Handwashinginstructions Sanitizing 7.23Training ListofEmployeesandPositionsrequirehygienetraining TrainingMaterialusedtotrainemployees TheFrequencyofEmployees ListofEmployeesthathavereceivedtraining RecordofEachemployee’strainingHistory 7.3MonitoringandFollow-Up 7.4Resources 7.5GovernmentStandardsforPersonnelHygiene8.WorkplaceHazardousMaterialsInformationSystem(WHMIS)

Exhibit2:SurveyResults

Exhibit3:Location

Exhibit5:GrandOpening

Exhibit6:Location.Exhibit7:StampCard

Exhibit8:MailOut

Exhibit9:WorkSchedule

O = Owner

P= Part-Time Sunday Monday Tuesday Wednesday Thursday Friday Saturday

6:45AM-9:45AM

O1 & P1

O1 & P1 O2 & P1 P1 & O2 P1 & O2 O2 & P1

8:45AM-11:45 AM

O1 & P2

O1 & P1

9:45 AM-12:45 PM

O1 & P3

O1 & P2 O2 & P2 O2 & P2 O2 & P2 O2 & P2

11:45AM-2:45 PM

O1 & P2

O2 & P2

2:45 PM-5:15 PM

O1 & P3 O2 & P3

12:45 PM-3:45 PM O1 & P3 O2 & P3 O2 & P3 O2 & P3 O2 & P3

3:45PM-6:45 PM

O1 & P4

O2 & P4

O2 & P4

O2 & P4

O2 & P4

3:45 PM-7:15 PM

O2 & P4

6:45 PM-9:15 PM O1 & O2 O1 & O2 O1 & O2 O1 & O2

Exhibit10:Menu

DearMr.Fuca,IamwritinginresponsetoyourmarketingproposalforthepartnershipbetweenRev3KandYo2Go.Iwasveryimpressedbyyourmanagementteamandtheideastheyputforward.AtRev3Kwearenotjustagym,weareacommunityofhealthconsciousenthusiastslookingtohelpourclientsachievetheirpersonalfitnessgoals.Indoingsoitisourresponsibilitytoinformourclientsoftheproductstheyshouldbeconsuminginordertoreachthosegoals.WefeelYo2GoisafunandhealthyalternativeforpostandpreworkoutsnacksandforthisreasonwehavedecidedtopromotetheYo2Gobrand.YourmanagementteammadeitcleartousthatYo2Goservedfreshandhealthyproductsthatwerehighinprotein,lowinfatandcontainednaturalsugars.Inaddition,itwillbeconvenientforourclientstoaccesssuchhealthysnackssinceYo2Go’slocationiscenteredintheMasonvilleareabetweenbothourWindermereandHydeParklocation.Asaresult,webelievethisopportunitywillmutuallybenefitbothRev3KandYo2Goandwelookforwardtogrowingourbusinessalongsideyours.Sincerely,LiejaKoemanOwner,Rev3K

435WindermereRd,Unit200-London,ONN6G2M3Phone:519.432.73831175HydeParkRd–London,ONN6H5K5Phone:519.474.2871Lieja.rev3k@gmail.com

Christina Chan 146 Selwyn Rd, Richmond Hill, ON L4E 5E5

+1 (416)- 875- 0848 cchan833@uwo.ca

Summary of Qualifications • Proficient in Microsoft Office: Word, Excel, PowerPoint, Access; Photoshop, Illustrator, Dreamweaver • Ability to manage multiple social media platforms: Facebook, Twitter, Instagram • Excellent verbal and written communication skills in English and Cantonese

Work Experience Administrative Assistant, Brofort Inc. – July 2015- Aug 2015

• Followed up with clients with orders and satisfaction of products • Reached out to potential clients through social media, targeting the retail industry • Managed the inbound and outbound logistics of the company’s products and inventory • Worked on a database to update the company’s purchasing orders • Ensure the timely collection of accounts receivables • Provided quality control support to ensure that products are standardized

Receptionist, IAQ Systems Incorporated; New York, New York — July 2013-Aug 2013 • Provided clients with information • Scheduled and confirmed appointments for clients and customers • Kept track and organized daily schedules • Organized meeting minutes during weekly meetings • Used spreadsheets to organize sales

Education Candidate for Double Degree in Bachelor of Arts, Honours Specialization in Media Studies — Media, Information, Technoculture, Honours Business Administration— Richard Ivey School of Business, Western University Sept 2014 - Present

Ontario Secondary School Diploma, Richmond Hill High School, Richmond Hill, ON, June 2014

Extracurricular Activities Leadership & Academic Mentorship Program 2.0: Peer Mentor- 2015-2016

• Provide social and academic support for students in second year of under graduate studies • Lead students through social events and gatherings • Provide students with information to get involved with all aspects of campus and Western University

Student Success Center Southeast Asia Association: Marketing Executive – 2015-2106

• Designed promotional posters and logo for club’s marketing events • Planned marketing campaigns to promote club events • Contributed ideas to promote club awareness • Scheduled marketing executives to ensure smoothness in promotional activities

University Student Council: Accessibility Committee: Marketing Manager – 2015-2016 • Planned an exhibition for awareness for International Persons with Disabilities Day • Contacted and communicated with organizations interested in participating in the exhibition at the

University Community Center • Designed posters and promoted the exhibition through different social media such as Facebook,

University Student Council website • Provided students with information on how they can get involved and volunteer for the London

community with people with disabilities

Joseph Fuca 18 Woodgate Place London, Ontario

N6K 4A4 Home: 519-641-6720

E-mail: joeyf93@rogers.com Objective

Continue with my education to get my degree in Honor Specialization Bachelors of Health Sciences Degree

Attend Honors Business Administration at Ivey To establish an education in business administration where I can use interpersonal

skills, knowledge and attitude necessary to pursue an entrepreneurial future Education

Completed four years at Western University studying to receive my degree in Honor Specialization Bachelors of Health Sciences in the spring of 2015

Completed four years of High School Saint Thomas Aquinas Catholic Secondary School 9th -10th and first semester of

11th grade Second semester of 11th-12th grade at National Sports Academy (Lake Placid, NY)

Achievements

Dean’s Honour List 2012-2013, and 2013-2014, 2014-2015 Frederick Douglass and Susan B. Anthony Scholarship Award to University of

Rochester (highschool) Excellence in Science and Mathematics Scholarship Award to Lawrence Tech

(highschool) Principal Platinum Award in Grade 9-10 at St. Thomas Aquinas and First semester

of 11th. Grade Work Experience

Part-time Technician for Sport Chek, from 2011 – present Robertson Building Systems (Summer Analyst – Summer 2015) Robertson Building Systems (Inside Sales Associate/Shop Assistant – Summer

2014) Worked at Nevada Bobs Golf (Summer of 2010) Worked for 2 years at Hockey horizon doing hockey camps for younger players

(approx. three weeks per year) Rick Martin School of Shooting, periodically

Volunteer Work

Volunteer as a Research Assistant at St. Joseph’s Hospital in the Cardiac Rehabilitation Program, from June 2015 – present

Volunteer at Victoria Hospital in London, ON in the Preoperative Care Unit, since September 2013 – present

Volunteered at Victoria Hospital in the ACE Unit under The Hospital Elder Life Program (HELP), a proactive “comprehensive program of care for older hospitalized patients in acute care which is designed to prevent delirium and functional decline”, from 2012-2013

Volunteered at Victoria Hospital from 2011-2012 as a Volunteer Guide Completed my volunteer requirements for high school by the first semester of 10th

grade Volunteer with hockey camps during highschool

Exhibit 14: Initial Investment Yo2Go Yo2Go

Fixed Assets* Initial Investment Useful Life Amortization per yearLicense Fee $295.00 Topping Bar $7,838.00 15 $522.53Minimum Cash Float $20,000.00 POS System $987.00 5 $197.40Business Name Registration $60.00 Refrigerator $1,807.99 10 $180.80Inventory $6,586.74 Dishwasher $5,874.87 10 $587.49Renovation $1,330.00 Furnitures $2,421.00 14 $172.93Fixed Asset* $21,727.86 Desktop Computer $300.00 14 $21.43Total $50,000.00 Knives $100.00 11 $9.09

Printer $79.00 15 $5.27Bank Loan 50,000.00 Phone $60.00 10 $6.00Total 50,000.00 Desk $100.00 14 $7.14

Prep. Table $120.00 5 $24.00Open Sign $40.00 10 $4.00Signage $2,000.00 10 $200.00Total $21,727.86 0 $1,938.08

Initial Investment Required

Exhibit 15: Cost Schedule Yo2Go Yo2Go Variable Cost Schedule Fixed Cost Schedule

Year 1 Year 2 Year 3Variable Costs Percentage of Sales Cash ExpensesYogurt 11.24% Employment Insurance $439.92 $439.92 $439.92Toppings (Fresh fruits) 1.53% Rent(include utilities) $27,600.00 $27,600.00 $27,600.00Toppings (others) 7.35% Marketing - Card $150.00 $150.00 $150.00Cups and spoons 10.20% Marketing - Facebook $2,285.00 $2,285.00 $2,285.00Pension Cost 4.95% Marketing - Mailing $6,085.92 $6,085.92 $6,085.92Total Variable Costs (%) 35.27% Co-owner Salary $60,000.00 $60,000.00 $60,000.00

Office Supplies $60.00 $60.00 $60.00Contribution Margin (%) 64.73% Washroom Supplies $50.00 $50.00 $50.00

Wages $23,400.00 $23,400.00 $23,400.00Phone&Internet $720.00 $720.00 $720.00Restaurant Supplies $600.00 $800.00 $1,000.00License $295.00 $120.00 $120.00Miscellaneous Expense $720.00 $720.00 $720.00Food Inspection Cost $895.00 $895.00 $895.00Amortization-Fixed Assets $1,938.08 $1,938.08 $1,938.08Amortization - Rennovation 88.66666667 88.66666667 88.66666667Total Cash Fixed Costs $123,300.84 $123,325.84 $123,525.84Total Fixed Costs $125,327.58 $125,352.58 $125,552.58

Exhibit 16: Unit Costs Yo2Go

Yogurt Additional IngredientsPlain, non-fat 0% Greek Yogurt $0.17 /100 gram Organic Dried Vanilla Bean $0.78 /100 gramLow fat Plain 2% Yogurt $0.45 /100 gram Flax Seeds $0.34 /100 gramNo Fat Plain yogurt $0.76 /100 gram Diced Almonds $2.81 /100 gram0% vanilla greek yougurt $0.17 /100 gram Maple Syrup $1.81 /100 gramNo fat vanilla greek yogurt $0.69 /100 gram Raisins $0.99 /100 gramTotal Cost $2.24 /100 gram Low fat Honey $0.81 /100 gram

Dark Chocolate $2.49 /100 gramMaple Nut Cereal $1.07 /100 gramOrganic Rolled Oats $0.70 /100 gramTotal Cost $11.80 /100 gram

Fresh Fruits Raspberries $0.83 /100 gramBlueberries $0.83 /100 gramStrawberries $0.83 /100 gramBlackberries $0.83 /100 gramKiwi $1.34 /100 gramCoconut $0.51 /100 gramMango $0.97 /100 gramBanana $0.06 /100 gramApple $0.28 /100 gramGrapes $0.28 /100 gramPineapples $0.24 /100 gramPears $0.22 /100 gramHoneydew $0.26 /100 gramCantaloupe $0.26 /100 gramTotal Cost $7.75 /100 gram

Yo2Go

Yo2Go

Yo

Exhibit 17: Cash Budget Yo2Go Cash Budget Year 1 (Low)

224,123.87$ Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100.00%

April May June July August September October November December January February March TotalSales 16,002.44$ 16,361.04$ 23,533.01$ 23,533.01$ 24,653.63$ 16,002.44$ 20,171.15$ 16,002.44$ 20,171.15$ 15,688.67$ 16,002.44$ 16,002.44$ 224,123.87$ Total Sales 16,002.44$ 16,361.04$ 23,533.01$ 23,533.01$ 24,653.63$ 16,002.44$ 20,171.15$ 16,002.44$ 20,171.15$ 15,688.67$ 16,002.44$ 16,002.44$ 224,123.87$ Inflows: -$ Bank Loan 50,000.00$ Cash Sales Collection 6,400.98$ 6,544.42$ 9,413.20$ 9,413.20$ 9,861.45$ 6,400.98$ 8,068.46$ 6,400.98$ 8,068.46$ 6,275.47$ 6,400.98$ 6,400.98$ 89,649.55$ Credit Sales Collection 9,601.47$ 9,816.63$ 14,119.80$ 14,119.80$ 14,792.18$ 9,601.47$ 12,102.69$ 9,601.47$ 12,102.69$ 9,413.20$ 9,601.47$ 9,601.47$ 134,474.32$ Less:Sales Discount 960.15$ 981.66$ 1,411.98$ 1,411.98$ 1,479.22$ 960.15$ 1,210.27$ 960.15$ 1,210.27$ 941.32$ 960.15$ 960.15$ 13,447.43$ Total Inflows 65,042.30$ 15,379.38$ 22,121.03$ 22,121.03$ 23,174.41$ 15,042.30$ 18,960.88$ 15,042.30$ 18,960.88$ 14,747.35$ 15,042.30$ 15,042.30$ 260,676.44$

-$ Outflows: -$ Credit Card Fee(1.61%) 154.58$ 158.05$ 227.33$ 227.33$ 238.15$ 154.58$ 194.85$ 154.58$ 194.85$ 151.55$ 154.58$ 154.58$ 2,165.04$ Vatiable Cost 5,643.52$ 5,769.98$ 8,299.29$ 8,299.29$ 8,694.50$ 5,643.52$ 7,113.68$ 5,643.52$ 7,113.68$ 5,532.86$ 5,643.52$ 5,643.52$ 79,040.88$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Maketing - Mailing 3,042.96$ -$ -$ -$ -$ -$ 3,042.96$ -$ -$ -$ -$ -$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 600.00$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 6,525.08$ 6,525.08$ Interest(5.7%) -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Investment -$ License 295.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 295.00$ Fixed Assets 21,727.86$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 21,727.86$ Inventory 6,586.74$ Renovation 1,330.00$ Total Cash Outflow 48,687.32$ 15,649.69$ 18,248.28$ 18,248.28$ 18,654.31$ 15,519.76$ 20,148.15$ 15,519.76$ 17,030.19$ 15,406.07$ 15,519.76$ 22,044.85$ 240,676.44$ Net Cash Flow 16,354.98$ (270.31)$ 3,872.74$ 3,872.74$ 4,520.10$ (477.46)$ (1,187.27)$ (477.46)$ 1,930.69$ (658.72)$ (477.46)$ (7,002.55)$ 20,000.00$ Beginning Cash -$ 16,354.98$ 16,084.67$ 19,957.41$ 23,830.15$ 28,350.25$ 27,872.79$ 26,685.51$ 26,208.05$ 28,138.74$ 27,480.01$ 27,002.55$ 267,965.11$ Ending Cash 16,354.98$ 16,084.67$ 19,957.41$ 23,830.15$ 28,350.25$ 27,872.79$ 26,685.51$ 26,208.05$ 28,138.74$ 27,480.01$ 27,002.55$ 20,000.00$ 287,965.11$

Yo2Go Yo2Go

278,054.14$ Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100%

April May June July August September October November December January February March TotalSales 19,853.07$ 20,297.95$ 29,195.68$ 29,195.68$ 30,585.96$ 19,853.07$ 25,024.87$ 19,853.07$ 25,024.87$ 19,463.79$ 19,853.07$ 19,853.07$ 278,054.14$ Total Sales 19,853.07$ 20,297.95$ 29,195.68$ 29,195.68$ 30,585.96$ 19,853.07$ 25,024.87$ 19,853.07$ 25,024.87$ 19,463.79$ 19,853.07$ 19,853.07$ 278,054.14$ Inflows: -$ Cash Sales Collection 7,941.23$ 8,119.18$ 11,678.27$ 11,678.27$ 12,234.38$ 7,941.23$ 10,009.95$ 7,941.23$ 10,009.95$ 7,785.52$ 7,941.23$ 7,941.23$ 111,221.66$ Credit Sales Collection 11,911.84$ 12,178.77$ 17,517.41$ 17,517.41$ 18,351.57$ 11,911.84$ 15,014.92$ 11,911.84$ 15,014.92$ 11,678.27$ 11,911.84$ 11,911.84$ 166,832.48$ Less:Sales Discount 1,191.18$ 1,217.88$ 1,751.74$ 1,751.74$ 1,835.16$ 1,191.18$ 1,501.49$ 1,191.18$ 1,501.49$ 1,167.83$ 1,191.18$ 1,191.18$ 16,683.25$ Total Inflows 18,661.88$ 19,080.08$ 27,443.94$ 27,443.94$ 28,750.80$ 18,661.88$ 23,523.38$ 18,661.88$ 23,523.38$ 18,295.96$ 18,661.88$ 18,661.88$ 261,370.89$

-$ Outflows: -$ Credit Card Fee(1.61%) 191.78$ 196.08$ 282.03$ 282.03$ 295.46$ 191.78$ 241.74$ 191.78$ 241.74$ 188.02$ 191.78$ 191.78$ 2,686.00$ Vatiable Cost 7,001.50$ 7,158.40$ 10,296.33$ 10,296.33$ 10,786.63$ 7,001.50$ 8,825.42$ 7,001.50$ 8,825.42$ 6,864.22$ 7,001.50$ 7,001.50$ 98,060.25$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Maketing - Mailing 3,042.96$ -$ -$ -$ -$ -$ 3,042.96$ -$ -$ -$ -$ -$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 800.00$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax 88.19$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 88.19$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 34,732.53$ 34,732.53$ Interest(5.7%) 2,478.07$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2,478.07$ License 120.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120.00$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Total Cash Outflow 22,845.83$ 17,092.80$ 20,316.68$ 20,316.68$ 20,820.41$ 16,931.61$ 21,923.45$ 16,931.61$ 18,805.49$ 16,790.56$ 16,931.61$ 51,664.14$ 261,370.89$ Net Cash Flow (4,183.95)$ 1,987.27$ 7,127.26$ 7,127.26$ 7,930.38$ 1,730.27$ 1,599.93$ 1,730.27$ 4,717.89$ 1,505.40$ 1,730.27$ (33,002.26)$ -$ Beginning Cash 20,000.00$ 15,816.05$ 17,803.32$ 24,930.58$ 32,057.84$ 39,988.22$ 41,718.50$ 43,318.43$ 45,048.70$ 49,766.59$ 51,271.99$ 53,002.26$ 434,722.47$ Ending Cash 15,816.05$ 17,803.32$ 24,930.58$ 32,057.84$ 39,988.22$ 41,718.50$ 43,318.43$ 45,048.70$ 49,766.59$ 51,271.99$ 53,002.26$ 20,000.00$ 434,722.47$

Cash Buget Year 2 (Low)

Yo2Go

340,183.98$ Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100%

April May June July August September October November December January February March TotalSales 24,289.14$ 24,833.43$ 35,719.32$ 35,719.32$ 37,420.24$ 24,289.14$ 30,616.56$ 24,289.14$ 30,616.56$ 23,812.88$ 24,289.14$ 24,289.14$ 340,183.98$ Total Sales 24,289.14$ 24,833.43$ 35,719.32$ 35,719.32$ 37,420.24$ 24,289.14$ 30,616.56$ 24,289.14$ 30,616.56$ 23,812.88$ 24,289.14$ 24,289.14$ 340,183.98$ Inflows: -$ Cash Sales Collection 9,715.65$ 9,933.37$ 14,287.73$ 14,287.73$ 14,968.10$ 9,715.65$ 12,246.62$ 9,715.65$ 12,246.62$ 9,525.15$ 9,715.65$ 9,715.65$ 136,073.59$ Credit Sales Collection 14,573.48$ 14,900.06$ 21,431.59$ 21,431.59$ 22,452.14$ 14,573.48$ 18,369.94$ 14,573.48$ 18,369.94$ 14,287.73$ 14,573.48$ 14,573.48$ 204,110.39$ Less:Sales Discount 1,457.35$ 1,490.01$ 2,143.16$ 2,143.16$ 2,245.21$ 1,457.35$ 1,836.99$ 1,457.35$ 1,836.99$ 1,428.77$ 1,457.35$ 1,457.35$ 20,411.04$ Total Inflows 22,831.79$ 23,343.42$ 33,576.16$ 33,576.16$ 35,175.02$ 22,831.79$ 28,779.56$ 22,831.79$ 28,779.56$ 22,384.11$ 22,831.79$ 22,831.79$ 319,772.94$

-$ Outflows: -$ Credit Card Fee(1.61%) 234.63$ 239.89$ 345.05$ 345.05$ 361.48$ 234.63$ 295.76$ 234.63$ 295.76$ 230.03$ 234.63$ 234.63$ 3,286.18$ Vatiable Cost 8,565.95$ 8,757.91$ 12,596.99$ 12,596.99$ 13,196.85$ 8,565.95$ 10,797.42$ 8,565.95$ 10,797.42$ 8,397.99$ 8,565.95$ 8,565.95$ 119,971.34$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Marketing - Mailing 3,042.96$ -$ -$ -$ -$ -$ 3,042.96$ -$ -$ -$ -$ -$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax 1,564.82$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,564.82$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 8,742.39$ 8,742.39$ Interest(5.7%) 498.32$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 498.32$ License 120.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120.00$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Total Cash Outflow 23,966.67$ 18,752.79$ 22,697.03$ 22,697.03$ 23,313.32$ 18,555.58$ 23,966.13$ 18,555.58$ 20,848.17$ 18,383.02$ 18,555.58$ 27,297.97$ 257,588.88$ Net Cash Flow (1,134.89)$ 4,590.63$ 10,879.13$ 10,879.13$ 11,861.70$ 4,276.21$ 4,813.44$ 4,276.21$ 7,931.40$ 4,001.09$ 4,276.21$ (4,466.18)$ 62,184.07$ Beginning Cash 20,000.00$ 18,865.11$ 23,455.75$ 34,334.87$ 45,214.00$ 57,075.70$ 61,351.91$ 66,165.35$ 70,441.56$ 78,372.95$ 82,374.04$ 86,650.25$ 644,301.50$ Ending Cash 18,865.11$ 23,455.75$ 34,334.87$ 45,214.00$ 57,075.70$ 61,351.91$ 66,165.35$ 70,441.56$ 78,372.95$ 82,374.04$ 86,650.25$ 82,184.07$ 706,485.56$

Cash Budget Year 3 (Low)

Yo2Go

240,929.42$ Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100%

April May June July August September October November December January February March TotalSales 17,202.36$ 17,587.85$ 25,297.59$ 25,297.59$ 26,502.24$ 17,202.36$ 21,683.65$ 17,202.36$ 21,683.65$ 16,865.06$ 17,202.36$ 17,202.36$ 240,929.42$ Total Sales 17,202.36$ 17,587.85$ 25,297.59$ 25,297.59$ 26,502.24$ 17,202.36$ 21,683.65$ 17,202.36$ 21,683.65$ 16,865.06$ 17,202.36$ 17,202.36$ 240,929.42$ Inflows: -$ Bank Loan 50,000.00$ Cash Sales Collection 6,880.94$ 7,035.14$ 10,119.04$ 10,119.04$ 10,600.89$ 6,880.94$ 8,673.46$ 6,880.94$ 8,673.46$ 6,746.02$ 6,880.94$ 6,880.94$ 96,371.77$ Credit Sales Collection 10,321.42$ 10,552.71$ 15,178.55$ 15,178.55$ 15,901.34$ 10,321.42$ 13,010.19$ 10,321.42$ 13,010.19$ 10,119.04$ 10,321.42$ 10,321.42$ 144,557.65$ Less:Sales Discount 1,032.14$ 1,055.27$ 1,517.86$ 1,517.86$ 1,590.13$ 1,032.14$ 1,301.02$ 1,032.14$ 1,301.02$ 1,011.90$ 1,032.14$ 1,032.14$ 14,455.77$ Total Inflows 66,170.22$ 16,532.58$ 23,779.73$ 23,779.73$ 24,912.10$ 16,170.22$ 20,382.63$ 16,170.22$ 20,382.63$ 15,853.16$ 16,170.22$ 16,170.22$ 276,473.66$

-$ Outflows: -$ Credit Card Fee(1.61%) 166.17$ 169.90$ 244.37$ 244.37$ 256.01$ 166.17$ 209.46$ 166.17$ 209.46$ 162.92$ 166.17$ 166.17$ 2,327.38$ Vatiable Cost 6,066.69$ 6,202.64$ 8,921.60$ 8,921.60$ 9,346.44$ 6,066.69$ 7,647.09$ 6,066.69$ 7,647.09$ 5,947.73$ 6,066.69$ 6,066.69$ 84,967.63$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Marketing - Mailing 3,042.96$ 3,042.96$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 600.00$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 16,233.22$ 16,233.22$ Interest(5.7%) -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Investment -$ License 295.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 295.00$ Fixed Assets 21,727.86$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 21,727.86$ Inventory 6,586.74$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 6,586.74$ Rennovation 1,330.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,330.00$ Total Cash Outflow 49,122.08$ 16,094.20$ 18,887.64$ 18,887.64$ 19,324.11$ 15,954.52$ 20,696.17$ 15,954.52$ 17,578.21$ 15,832.31$ 15,954.52$ 32,187.74$ 256,473.66$ Net Cash Flow 17,048.14$ 438.38$ 4,892.10$ 4,892.10$ 5,587.99$ 215.70$ (313.54)$ 215.70$ 2,804.42$ 20.85$ 215.70$ (16,017.52)$ 20,000.00$ Beginning Cash -$ 17,048.14$ 17,486.52$ 22,378.62$ 27,270.72$ 32,858.71$ 33,074.41$ 32,760.86$ 32,976.56$ 35,780.98$ 35,801.83$ 36,017.52$ 323,454.86$ Ending Cash 17,048.14$ 17,486.52$ 22,378.62$ 27,270.72$ 32,858.71$ 33,074.41$ 32,760.86$ 32,976.56$ 35,780.98$ 35,801.83$ 36,017.52$ 20,000.00$ 343,454.86$

Cash Budget Year 1(High)

Yo2Go

Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100%April May June July August September October November December January February March Total

Sales 21,052.98$ 21,524.76$ 30,960.27$ 30,960.27$ 32,434.57$ 21,052.98$ 26,537.37$ 21,052.98$ 26,537.37$ 20,640.18$ 21,052.98$ 21,052.98$ 294,859.70$ Total Sales 21,052.98$ 21,524.76$ 30,960.27$ 30,960.27$ 32,434.57$ 21,052.98$ 26,537.37$ 21,052.98$ 26,537.37$ 20,640.18$ 21,052.98$ 21,052.98$ 294,859.70$ Inflows: -$ Cash Sales Collection 8,421.19$ 8,609.90$ 12,384.11$ 12,384.11$ 12,973.83$ 8,421.19$ 10,614.95$ 8,421.19$ 10,614.95$ 8,256.07$ 8,421.19$ 8,421.19$ 117,943.88$ Credit Sales Collection 12,631.79$ 12,914.85$ 18,576.16$ 18,576.16$ 19,460.74$ 12,631.79$ 15,922.42$ 12,631.79$ 15,922.42$ 12,384.11$ 12,631.79$ 12,631.79$ 176,915.82$ Less:Sales Discount 1,263.18$ 1,291.49$ 1,857.62$ 1,857.62$ 1,946.07$ 1,263.18$ 1,592.24$ 1,263.18$ 1,592.24$ 1,238.41$ 1,263.18$ 1,263.18$ 17,691.58$ Total Inflows 19,789.80$ 20,233.27$ 29,102.65$ 29,102.65$ 30,488.49$ 19,789.80$ 24,945.13$ 19,789.80$ 24,945.13$ 19,401.77$ 19,789.80$ 19,789.80$ 277,168.11$

-$ Outflows: -$ Credit Card Fee(1.61%) 203.37$ 207.93$ 299.08$ 299.08$ 313.32$ 203.37$ 256.35$ 203.37$ 256.35$ 199.38$ 203.37$ 203.37$ 2,848.34$ Vatiable Cost 7,424.67$ 7,591.05$ 10,918.64$ 10,918.64$ 11,438.57$ 7,424.67$ 9,358.83$ 7,424.67$ 9,358.83$ 7,279.09$ 7,424.67$ 7,424.67$ 103,987.00$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Marketing - Mail 3,042.96$ -$ -$ -$ -$ -$ 3,042.96$ -$ -$ -$ -$ -$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 66.67$ 800.00$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax 549.96$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 549.96$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 33,766.78$ 33,766.78$ Interest(5.7%) 1,924.71$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 1,924.71$ License 120.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120.00$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Total Cash Outflow 23,189.00$ 17,537.31$ 20,956.04$ 20,956.04$ 21,490.21$ 17,366.37$ 22,471.47$ 17,366.37$ 19,353.51$ 17,216.80$ 17,366.37$ 51,133.15$ 266,402.63$ Net Cash Flow (3,399.19)$ 2,695.97$ 8,146.61$ 8,146.61$ 8,998.28$ 2,423.43$ 2,473.66$ 2,423.43$ 5,591.62$ 2,184.97$ 2,423.43$ (31,343.35)$ 10,765.48$ Beginning Cash 20,000.00$ 16,600.81$ 19,296.77$ 27,443.38$ 35,590.00$ 44,588.28$ 47,011.71$ 49,485.37$ 51,908.81$ 57,500.43$ 59,685.40$ 62,108.83$ 491,219.78$ Ending Cash 16,600.81$ 19,296.77$ 27,443.38$ 35,590.00$ 44,588.28$ 47,011.71$ 49,485.37$ 51,908.81$ 57,500.43$ 59,685.40$ 62,108.83$ 30,765.48$ 501,985.26$

Cash Budget Year 2 (High)

Yo2Go

Sales assumption % 7.14% 7.30% 10.50% 10.50% 11.00% 7.14% 9.00% 7.14% 9.00% 7.00% 7.14% 7.14% 100%April May June July August September October November December January February March Total

Sales 30,819.48$ 31,510.11$ 45,322.77$ 45,322.77$ 47,480.99$ 30,819.48$ 38,848.08$ 30,819.48$ 38,848.08$ 30,215.18$ 30,819.48$ 30,819.48$ 431,645.38$ Total Sales 30,819.48$ 31,510.11$ 45,322.77$ 45,322.77$ 47,480.99$ 30,819.48$ 38,848.08$ 30,819.48$ 38,848.08$ 30,215.18$ 30,819.48$ 30,819.48$ 431,645.38$ Inflows: -$ Cash Sales Collection 12,327.79$ 12,604.05$ 18,129.11$ 18,129.11$ 18,992.40$ 12,327.79$ 15,539.23$ 12,327.79$ 15,539.23$ 12,086.07$ 12,327.79$ 12,327.79$ 172,658.15$ Credit Sales Collection 18,491.69$ 18,906.07$ 27,193.66$ 27,193.66$ 28,488.60$ 18,491.69$ 23,308.85$ 18,491.69$ 23,308.85$ 18,129.11$ 18,491.69$ 18,491.69$ 258,987.23$ Less:Sales Discount 1,849.17$ 1,890.61$ 2,719.37$ 2,719.37$ 2,848.86$ 1,849.17$ 2,330.89$ 1,849.17$ 2,330.89$ 1,812.91$ 1,849.17$ 1,849.17$ 25,898.72$ Total Inflows 28,970.31$ 29,619.51$ 42,603.40$ 42,603.40$ 44,632.13$ 28,970.31$ 36,517.20$ 28,970.31$ 36,517.20$ 28,402.27$ 28,970.31$ 28,970.31$ 405,746.66$

-$ Outflows: -$ Credit Card Fee(1.61%) 297.72$ 304.39$ 437.82$ 437.82$ 458.67$ 297.72$ 375.27$ 297.72$ 375.27$ 291.88$ 297.72$ 297.72$ 4,169.69$ Vatiable Cost 10,868.98$ 11,112.55$ 15,983.80$ 15,983.80$ 16,744.93$ 10,868.98$ 13,700.40$ 10,868.98$ 13,700.40$ 10,655.87$ 10,868.98$ 10,868.98$ 152,226.67$ Fixed Costs -$ Employment Insurance 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 36.66$ 439.92$ Rent(include utilities) 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 2,300.00$ 27,600.00$ Advertisment (Stamp Card) 75.00$ -$ -$ -$ -$ -$ 75.00$ -$ -$ -$ -$ -$ 150.00$ Marketing -Facebook 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 190.42$ 2,285.00$ Marketing - Mail 3,042.96$ -$ -$ -$ -$ -$ 3,042.96$ -$ -$ -$ -$ -$ 6,085.92$ Co-owner Salary 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 5,000.00$ 60,000.00$ Wages 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 1,950.00$ 23,400.00$ Phone&Internet 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Office Supplies 60.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 60.00$ Washroom Supplies 50.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 50.00$ Restaurnant Supplies 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 83.33$ 1,000.00$ Miscellaneous Expense 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 720.00$ Income Tax 2,024.11$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 2,024.11$ Loan Repayment -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ Interest(5.7%) -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ License 120.00$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ -$ 120.00$ Food Inspection 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 74.58$ 895.00$ Total Cash Outflow 26,293.76$ 21,171.93$ 26,176.61$ 26,176.61$ 26,958.59$ 20,921.69$ 26,948.63$ 20,921.69$ 23,830.67$ 20,702.74$ 20,921.69$ 20,921.69$ 281,946.31$ Net Cash Flow 2,676.55$ 8,447.58$ 16,426.79$ 16,426.79$ 17,673.54$ 8,048.62$ 9,568.57$ 8,048.62$ 12,686.53$ 7,699.53$ 8,048.62$ 8,048.62$ 123,800.35$ Beginning Cash 30,765.48$ 33,442.03$ 41,889.61$ 58,316.40$ 74,743.19$ 92,416.73$ 100,465.34$ 110,033.92$ 118,082.54$ 130,769.07$ 138,468.60$ 146,517.22$ 1,075,910.11$ Ending Cash 33,442.03$ 41,889.61$ 58,316.40$ 74,743.19$ 92,416.73$ 100,465.34$ 110,033.92$ 118,082.54$ 130,769.07$ 138,468.60$ 146,517.22$ 154,565.83$ 1,199,710.47$

Cash Budget Year 3 (High)

Exhibit 18: Income Statement Yo2Go

3 Year Income Statement ProjectionYear 1 Year 2 Year 3

LOW HIGH LOW HIGH LOW HIGHRevenue-(0-200g) 27,835.51$ 29,922.71$ 34,533.49$ 36,620.69$ 42,249.83$ 53,609.06$ Revenue-(200g-350g) 90,845.35$ 97,657.24$ 112,705.21$ 119,517.10$ 137,888.64$ 174,961.19$ Revenue-(350g-500g) 37,054.03$ 39,832.46$ 45,970.23$ 48,748.66$ 56,242.05$ 71,363.21$ Revenue-(500g-700g) 26,395.74$ 28,374.99$ 32,747.28$ 34,726.52$ 40,064.49$ 50,836.18$ Revenue-(over 700g) 41,993.23$ 45,142.02$ 52,097.94$ 55,246.73$ 63,738.97$ 80,875.74$ Total Sales 224,123.87$ 240,929.42$ 278,054.14$ 294,859.70$ 340,183.98$ 431,645.38$ Less:Sales Discount 13,447.43$ 14,455.77$ 16,683.25$ 17,691.58$ 20,411.04$ 25,898.72$ Net sales 210,676.44$ 226,473.66$ 261,370.89$ 277,168.11$ 319,772.94$ 405,746.66$ Less:Variable Cost 79,040.88$ 84,967.63$ 98,060.25$ 103,987.00$ 119,971.34$ 152,226.67$ Contribution 131,635.56$ 141,506.03$ 163,310.64$ 173,181.11$ 199,801.61$ 253,519.99$ Fixed CostCredit Card Fees 2,165.04$ 2,327.38$ 2,686.00$ 2,848.34$ 3,286.18$ 4,169.69$ Employment Insurance 439.92$ 439.92$ 439.92$ 439.92$ 439.92$ 439.92$ Rent(include utilities) 27,600.00$ 27,600.00$ 27,600.00$ 27,600.00$ 27,600.00$ 27,600.00$ Advertisment (Stamp Card) 150.00$ 150.00$ 150.00$ 150.00$ 150.00$ 150.00$ Marketing -Facebook 2,285.00$ 2,285.00$ 2,285.00$ 2,285.00$ 2,285.00$ 2,285.00$ Marketing - Mail 6,085.92$ 6,085.92$ 6,085.92$ 6,085.92$ 6,085.92$ 6,085.92$ Co-owner Salary 60,000.00$ 60,000.00$ 60,000.00$ 60,000.00$ 60,000.00$ 60,000.00$ Wages 23,400.00$ 23,400.00$ 23,400.00$ 23,400.00$ 23,400.00$ 23,400.00$ Phone&Internet 720.00$ 720.00$ 720.00$ 720.00$ 720.00$ 720.00$ Restaurant Supplies 600.00$ 600.00$ 800.00$ 800.00$ 1,000.00$ 1,000.00$ License 120.00$ 120.00$ 120.00$ 120.00$ Office Supplies 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ 60.00$ Washroom Supplies 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ 50.00$ Miscellaneous 720.00$ 720.00$ 720.00$ 720.00$ 720.00$ 720.00$ Food Inspection Cost 895.00$ 895.00$ 895.00$ 895.00$ 895.00$ 895.00$ Amortization-Fixed Assets 1,938.08$ 1,938.08$ 1,938.08$ 1,938.08$ 1,938.08$ 1,938.08$ Amortization - Revnoation 88.67$ 88.67$ 88.67$ 88.67$ 88.67$ 88.67$ Total Fixed Cost 127,197.62$ 127,359.96$ 128,038.59$ 128,200.93$ 128,838.76$ 129,722.28$ Net Income Before Interest and Tax 4,437.94$ 14,146.07$ 35,272.05$ 44,980.19$ 70,962.85$ 123,797.72$ Less: Interest 2,478.07$ 1,924.71$ 498.32$ -$ (0.00)$ -$ Net Income before Tax 1,959.87$ 12,221.37$ 34,773.74$ 44,980.19$ 70,962.85$ 123,797.72$ Less:Income Tax 88.19$ 549.96$ 1,564.82$ 2,024.11$ 3,193.33$ 5,570.90$ Net Income 1,871.67$ 11,671.40$ 33,208.92$ 42,956.08$ 67,769.52$ 118,226.82$

Exhibit 19: Balance Sheet Yo2Go

Three- Year Projected Statement of Financial Position Year 1 (Low) Year 1 (High) Year 2 (Low) Year 2 (High) Year 3 (Low) Year 3 (High)

ASSETSCurrent AssetsCash 20,000.00$ 20,000.00$ 20,000.00$ 30,765.48$ 82,184.06$ 154,565.83$ Inventory 6,586.74$ 6,586.74$ 6,586.74$ 6,586.74$ 6,586.74$ 6,586.74$ Business License 295.00$ 295.00$ 295.00$ 295.00$ 295.00$ 295.00$ Non-current AssetsFixed Assets 21,727.86$ 21,727.86$ 21,727.86$ 21,727.86$ 21,727.86$ 21,727.86$ Less:Accumulated Amortization 1,938.08$ 1,938.08$ 3,876.15$ 3,876.15$ 5,814.23$ 5,814.23$ Renovation 1,330.00$ 1,330.00$ 1,330.00$ 1,330.00$ 1,330.00$ 1,330.00$ Less:Accumulated Amortization 88.67$ 88.67$ 177.33$ 177.33$ 266.00$ 266.00$

Total Assets 47,912.85$ 47,912.85$ 45,886.11$ 56,651.59$ 106,043.43$ 178,425.20$

LIABILITIES AND EQUITYCurrent Liability Tax Payable 88.19$ 549.96$ 1,564.82$ 2,024.11$ 3,193.33$ 5,570.90$ Interest Payable 2,478.07$ 1,924.71$ 498.32$ -$ -$ -$ Non-current LiabilityBank Loan 43,474.92$ 33,766.78$ 8,742.38$ -$ -$ -$ Total Liabilities 46,041.18$ 36,241.45$ 10,805.52$ 2,024.11$ 3,193.33$ 5,570.90$

Common Stock -$ -$ -$ -$ -$ -$ Retained Earnings 1,871.67$ 11,671.40$ 35,080.59$ 54,627.48$ 102,850.11$ 172,854.30$ Total Equity 1,871.67$ 11,671.40$ 35,080.59$ 54,627.48$ 102,850.11$ 172,854.30$

Total Liabilities and Equity 47,912.85$ 47,912.85$ 45,886.11$ 56,651.59$ 106,043.44$ 178,425.20$

Exhibit 20: Break-Even Analysis Yo2Go Break-Even Analysis

2016 2017 2018Break-Even Low High Low High Low HighTotal Fixed Costs 125,327.58$ 125,327.58$ 125,352.58$ 125,352.58$ 125,552.58$ 125,552.58$ WACM 64.73% 64.73% 64.73% 64.73% 64.73% 64.73%Break-Even Sales($) 193,605.76$ 193,605.76$ 193,644.38$ 193,644.38$ 193,953.34$ 193,953.34$ Projected Sales 224,123.87$ 240,929.42$ 278,054.14$ 294,859.70$ 340,183.98$ 431,645.38$ Margin of Safety 13.62% 19.64% 30.36% 34.33% 42.99% 55.07%

Yo2Go Cash Break-Even Analysis

2016 2017 2018Cash Break-Even Low High Low High Low HighTotal Cash Fixed Costs 123,300.84$ 123,300.84$ 123,325.84$ 123,325.84$ 123,525.84$ 123,525.84$ WACM 64.73% 64.73% 64.73% 64.73% 64.73% 64.73%Cash Break-Even Sales($) 190474.8505 190474.8505 190513.4705 190513.4705 190822.43 190822.43Projected Sales 224,123.87$ 240,929.42$ 278,054.14$ 294,859.70$ 340,183.98$ 431,645.38$ Margin of Safety 15.01% 20.94% 31.48% 35.39% 43.91% 55.79%

Exhibit 21: Ratio AnalysisRatio Analysis

2016 2017 2018LOW HIGH LOW HIGH LOW HIGH

ProfitabilityReturn On Investment(ROI) Net Income 1,871.67$ 11,671.40$ 33,208.92$ 42,956.08$ 67,769.52$ 118,226.82$ Initial Investments 49,999.60$ 49,999.60$ 49,999.60$ 49,999.60$ 49,999.60$ 49,999.60$ ROI 3.74% 23.34% 66.42% 85.91% 135.54% 236.46%Payback(years) 26.71382576 4.283940232 1.505607514 1.163970285 0.7377889 0.422912488Return On Equity(ROE)Net Income 1,871.67$ 11,671.40$ 33,208.92$ 42,956.08$ 67,769.52$ 118,226.82$ Owners'Equity N/A N/A N/A N/A N/A N/AROE N/A N/A N/A N/A N/A N/A StabilityNet Worth To Total Assets N/A N/A N/A N/A N/A N/A Liquidity Current Ratio 10.47504719 10.86276581 13.02956535 18.59940982 27.89121483 28.98053327Working Capital 24,315.48$ 24,407.07$ 24,818.61$ 35,623.11$ 85,872.47$ 155,876.68$ EfficiencyFixed Assets Turnover 10.01736867 10.7685045 13.75319813 14.58443972 18.83495953 23.89890111 Growth Rate

Year 1 -Year 2 Year 2 - Year 3Sales Low High Low High

24.06% 22.38% 22.34% 46.39%

Yo2Go

Exhibit 22: Sales Projection Yo2Go

Sales Projection Population of Target Market(males and females ages 35-54) 2786Population of the four Surrounding Neighbourhoods 37129Total Population of London(less 4 surrounding area) 326235

Total Population 366150

Year 1 2016 Low 2016 High

Percentage Captured Number Percentage Captured NumberTarget Market (males and females ages 35-54) 5.00% 5015 7.00% 7021Surrounding area 2.00% 17822 2.00% 17822Rest of London 0.20% 3915 0.20% 3915Total Yogurt Parfait sold 26752 28757

Year 22017 Low 2017 High

Percentage Captured Number Percentage Captured NumberTarget Market (males and females ages 35-54) 6.00% 6018 8.00% 8024Surrounding area 2.50% 22277 2.50% 22277Rest of London 0.25% 4894 0.25% 4894Total Yogurt Parfait sold 33189 35195

Year 32018 Low 2018 High

Percentage Captured Number Percentage Captured NumberTarget Market (males and females ages 35-54) 7.00% 7021 9.0% 9027Surrounding area 3.00% 26733 4.0% 35644Rest of London 0.35% 6851 0.35% 6851Total Yogurt Parfait sold 40605 51521

Exhibit 23: Sales Projection Calculation Demonstration

Yo2GoFrequency :Target group  at least 3 times per month Surrounding area consumers: Once every two weeksTotal london area (less surrounding areas): once every 2 months

Sales Revenue (high) Yr10-200gaverage:100200g -350gaverage:275350g-500gave: 425500g- 700gave:600

Over $21 Over 700g (700) 8% $41,993.23 $45,142.02

Grams

$11- 15 10.90% $37,054.03 $39,832.46

Price range Percentage Sales Revenue (Low) Yr1

$1 -5 34.80% 26752*0.348*2.99=$27,835.51 28757*0.348*2.99=$29,922.71

$16- 20 6% $26,395.74 $28,374.99

$6- 10 41.30% $90,845.35 $97,657.24

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“Corporate Tax Advantages of the Canadian-Controlled Private Corporation” aboutmoney. 25 Jan 2016. <http://sbinfocanada.about.com/od/corporatetax/a/ccpcadvantages.htm>

“Fast Food Restaurants in Canada”. IBISWorld. 2 Feb 2016. <http://clients1.ibisworld.ca/reports/ca/industry/default.aspx?entid=1980> “Focus on Geography Series, 2011 Census”. Statistics Canada. 21 Jan 2016. <https://www12.statcan.gc.ca/census-recensement/2011/as-sa/fogs-spg/Facts-csd-eng.cfm?LANG=Eng&GK=CSD&GC=3539036>

“Food Safety Inspections” ML Health Unit. 21 Jan 2016. <https://www.healthunit.com/food-safety-inspections>

“Frozen vs. Regular Yogurt?” GH. 13 Jan 2016. <http://www.goodhousekeeping.com/health/diet-nutrition/a20979/frozen-regular-yogurt-1001/> “Minimum Wage”. Ontario Ministry of Labour. 12 Jan 2016. <http://www.labour.gov.on.ca/english/es/pubs/guide/minwage.php> “North West London”. London Canada. 2 Feb 2016. <https://www.london.ca/About-London/community-statistics/neighbourhood-profiles/Pages/North-West-London.aspx> “Ontario Public Health Standards”. Ontario Ministry of Health and Long-Term Care. 21 Jan 2016. <http://www.health.gov.on.ca/en/pro/programs/publichealth/oph_standards/foodsafety.aspx> “Safety Investigations”. Canadian Food Inspection Agency. 10 Jan 2016. <http://www.inspection.gc.ca/food/information-for-consumers/food-safety-investigations/eng/1332299626115/1332299812611> “Social Media User Statistics & Age Demographics for 2014”. JETSCRAM. 21 Jan 2016. <http://jetscram.com/blog/industry-news/social-media-user-statistics-and-age-demographics-2014/#sthash.WoYS4YgQ.dpuf>

“Survey of Household Spending, 2013”. Statistics Canada. 12 Jan 2016. http://www.statcan.gc.ca/daily-quotidien/150122/dq150122b-eng.htm “Trudeau tax changes a mixed bag”. Toronto Sun. 10 Jan 2016. <http://www.torontosun.com/2015/10/23/trudeau-tax-changes-a-mixed-bag> “US Specialized Industry Reports” IBISWorld. 17 Jan 2016. <http://clients1.ibisworld.com/reports/us/industry/ataglance.aspx?entid=4323> “Vision”. Menchies. 17 Jan 2016. <http://www.menchies.ca/frozen-yogurt-store-vision> “Why Is It Important?”. President’s Council on Fitness, Sports & Nutrition. 12 Jan 2016. http://www.fitness.gov/eat-healthy/why-is-it-important/ “Workplace Hazardous Materials Information System”. Health Canada. 21 Jan 2016. http://www.hc-sc.gc.ca/ewh-semt/occup-travail/whmis-simdut/index-eng.php “Yogurt and Yogurt Drinks”. Mintel. 12 Jan 2016. <http://academic.mintel.com.proxy1.lib.uwo.ca/display/745719/> “Yogurt and Yogurt Drinks”. Mintel. 12 Jan 2016. <http://academic.mintel.com.proxy1.lib.uwo.ca/display/714282/> “Yogurt and Yogurt Drinks”. Mintel. 12 Jan 2016. <http://academic.mintel.com/display/745700/?highlight#hit1> “Yogurt and Yogurt Drinks”. Mintel. 12 Jan 2016. <http://academic.mintel.com.proxy1.lib.uwo.ca/display/714276> ”Neighbourhoods of sunningdale”. Sunningdale Home. 13 Jan 2016. <http://www.sunningdalehome.com/loc_meadowlands_faq.shtm> ”Rev3K”. Rev3k. 10 Jan 2016. <http://rev3k.com>

Appendix B: Financial Costs Sources

Item Costs Useful life

Sources

Open sign $40 10 http://www.staples.ca/en/Headline-Sign-Century-Series-Business-Hours-Sign-14-x-13-/product_649267_2-CA_1_20001

Business License

$295 and $120 for renewal

https://www.london.ca/city-hall/by-laws/Documents/business-licence-L6.pdf

Topping Bar

$3919 15 In conversation with Tish Turbe Sales Manager http://turnkeyparlor.com/frozen-yogurt-topping-bar-rail-station/

POS System

$987 5 http://www.expertmarket.com/How-Much-Does-a-Point-Of-Sale-System-Cost

Refrigerator

$1807.99 10 http://www.costco.ca/.product.100161051.html?cm_sp=RichRelevance-_-categorypageHorizontalTop-_-PopularProductsInCategory&cm_vc=categorypageHorizontalTop%7CPopularProductsInCategory

Dishwasher $5,874.87 10 http://www.costco.ca/Miele-Professional-G8066-Undercounter-

Commercial-Dishwasher-.product.100161630.html

Furniture(9 sets)

$2,421.00 14 http://www.walmart.ca/en/ip/93370-spectrum-dining-set/6000146303860

Desktop Computer

$300.00 14 http://accessories.us.dell.com/sna/productdetail.aspx?c=ca&l=en&s=&cs=cadhs1&sku=492-BBMJ&dgc=ST&cid=3852&lid=5635587&acd=123088137920560&ven1=s3OPbVFyM&ven2=,

Printer

$79 15 http://www.staples.ca/en/Canon-PIXMA-MX532-Wireless-All-in-One-Inkjet-Printer-Airprint-Duplex/product_577808_2-CA_1_20001?kpid=577808&cid=PS:SBD:GS:n:n:SBD:58:21800&gclid=Cj0KEQiA89u1BRDz8enExq7rvN0BEiQAaFCHm1OE3wq6jjZ5l-rUMPmxMZ41aH-843Ikz9EHYyTkydoaAmEk8P8HAQ

Phone $60 10 http://www.staples.ca/en/VTech-CS6649-DECT-6-0-Corded-Cordless-

Phone-with-Answering-System/product_725838_2-CA_1_20001

Prep. Table

$120 5 http://www.amazon.ca/Worktable-24-X-Standard/dp/B010E9V3U2/ref=sr_1_12/182-6630029-1849964?ie=UTF8&qid=1454886095&sr=8-12&keywords=stainless+steel+prep+table

Marketing- Mails Out

$6,085.92 Exhibit 15

Marketing- Facebook

$9 a day http://jetscram.com/blog/industry-news/social-media-user-statistics-and-age-demographics-2014/#sthash.WoYS4YgQ.dpuf

Food Inspection

$895 http://www.inspection.gc.ca/food/labelling/food-labelling-for-industry/nutrition-labelling/additional-information/restaurants-and-food-service-establishments/eng/1409850385603/1409850437890

Name Registration

$60 https://www.ontario.ca/page/business-name-registration

Phone & Internet

$60 www.bell.ca

Office Supplies

$60 www.staples.ca