{"id":2289,"date":"2023-02-18T06:13:50","date_gmt":"2023-02-18T06:13:50","guid":{"rendered":"https:\/\/www.goodacademic.com\/blog\/questions\/profit-versus-cash\/"},"modified":"2023-02-18T06:13:50","modified_gmt":"2023-02-18T06:13:50","slug":"profit-versus-cash","status":"publish","type":"questions","link":"https:\/\/www.goodacademic.com\/blog\/questions\/profit-versus-cash\/","title":{"rendered":"profit versus cash"},"content":{"rendered":"<div class=\"col-sm-12 messageContent\">\n<table>\n<colgroup>\n<col>\n  <\/colgroup>\n<tbody>\n<tr>\n<td>Business Plan<\/td>\n<\/tr>\n<tr>\n<td>Invest SAR 500,000 cash savings for capital equipment and &#8220;working capital. &#8221; (In an emergency, you can borrow up to another SAR 200,000 from friends and family)<\/td>\n<\/tr>\n<tr>\n<td>Buy Capital Equipment for SAR300,000 during organizing period for business , 3 years useful life<\/td>\n<\/tr>\n<tr>\n<td>Acquire upfront-paid services &#8211; SAR 5\/service (&#8220;variable cost&#8221; as depends on number of services)<\/td>\n<\/tr>\n<tr>\n<td>Additional variable cost per service for processing etc. SAR 1\/service<\/td>\n<\/tr>\n<tr>\n<td>Average time from order to delivery is 1 month<\/td>\n<\/tr>\n<tr>\n<td>Rent, Utilities, Insurance, Bookkeeping, etc (fixed costs) &#8211; SAR 40,000\/month &#8211;<\/td>\n<\/tr>\n<tr>\n<td>Sell service to customer\/ B2B for SAR 10\/service<\/td>\n<\/tr>\n<tr>\n<td>Average time from delivery until when business customer pays is 2 months (Typical &#8220;Net 60&#8221; Payment Terms)<\/td>\n<\/tr>\n<tr>\n<td>Sounds like a no-lose proposition!<\/td>\n<\/tr>\n<\/tbody>\n<\/table>\n<\/div>\n","protected":false},"excerpt":{"rendered":"<p>Business Plan Invest SAR 500,000 cash savings for capital equipment and &#8220;working capital. &#8221; (In an emergency, you can borrow up to another SAR 200,000 from friends and family) Buy Capital Equipment for SAR300,000 during organizing period for business , 3 years useful life Acquire upfront-paid services &#8211; SAR 5\/service (&#8220;variable cost&#8221; as depends on [&hellip;]<\/p>\n","protected":false},"author":3,"featured_media":0,"comment_status":"open","ping_status":"closed","template":"","meta":[],"disciplines":[676],"paper_types":[],"tagged":[],"aioseo_notices":[],"_links":{"self":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions\/2289"}],"collection":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions"}],"about":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/types\/questions"}],"author":[{"embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/users\/3"}],"replies":[{"embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/comments?post=2289"}],"version-history":[{"count":0,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/questions\/2289\/revisions"}],"wp:attachment":[{"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/media?parent=2289"}],"wp:term":[{"taxonomy":"disciplines","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/disciplines?post=2289"},{"taxonomy":"paper_types","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/paper_types?post=2289"},{"taxonomy":"tagged","embeddable":true,"href":"https:\/\/www.goodacademic.com\/blog\/wp-json\/wp\/v2\/tagged?post=2289"}],"curies":[{"name":"wp","href":"https:\/\/api.w.org\/{rel}","templated":true}]}}