Figuring the Finances
SBX 7458
Course Hours:  5

Objectives:
Upon successful completion of this course, the participant will be able to:
 
    -  Know how budgets should be created and used
 
    -  Understand fixed and variable costs 
 
    -  Begin to Create a cash flow statement
 
    -  Calculate a break even point 
 

Content:
   

     1.  Budgeting/Forecasting for Your Venture
           -  Understanding the many types of budgets
           -  The different purposes budgets/forecast serve
           -  Calculate a break even point
          
     2.  Calculating Fixed and Variable Costs
           -  Differences between fixed and variable costs
           -  Using cost curves to understand your business
           -  Operating Leverage: What is means to the bottom line

     3.  Understanding Contribution Margin
           -  How to calculate the contribution margin 

     4.  Calculating Cash Flow (Cash Flow Curves)
           -  Start-up costs and investments
           -  Speed - getting products/services to market
           -  Scale - achieving volume
           -  Support costs - keeping a new product/service up and
              running
           -  Plotting the cash curve to understand your financial
              needs 

     5.  Break-even Analysis:  Reaching Profitability
           -  Revenue required to support fixed investments
           -  Calculating the point you will break even on your cash
              flow and when you will exceed it.