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In the Risks and Assumptions section, note 4-5 key risks, assumptions behind them and how you have reduced the risks.
Proof that company can succeed (NO TRUST ME or WE HOPE or WE THINK)
Financial Pro-forma (Year 1-5: Annual) Reach at least $1-2 million in annual sales in 3-5 years.
In the financial section, you need to show:
a. List the assumptions you are using
b. Your bottom-up sales assumptions showing your relationship from your investment in your sales driver to sales (and assumptions behind them and how you came up with them – secondary, primary and real research)
c. Profit and Loss statement — for 5 years
Sample Solution
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