If you are presenting your retail store business plan to investors, it is likely that they will request to see at least three to five years of financial projections. These projections typically include an income statement, cash flow forecast, and balance sheet like the samples that we have available for your review. The most effective way to form these projections is to base them on the prior operating history of your company. If you have no prior operating history, you may review the performance of other retail stores.
When performing the comparison, be sure not to use a major company like Amazon, which will leave your company with misguided figures. Do your best to find a company that has a similar model as you and sells similar products. For instance, a clothing retail store that has two locations offline may be compared to another clothing store that has under five locations. If you form the financial forecasts based upon comparable companies, your analysis will be taken more seriously when presented to investors.