Threats: Entry of New Business: This is a major threat for any business in any industry.

The problem is that the risk is higher in the nursery industry. The market is growing and many is trying to take advantage of it. In the past few years there was many new nurseries opened in Alexandria. But we are going to depend on reputation and dominating the market during the short time before any entrants to face any new threats.

Price Declining: We may face the risk of competitors declining there prices. If this happened we will have a disadvantage compared to our competitors especially that we will not be able to adapt to those prices as we are a new business and have lots of obligations to pay such as repaying our loan. Political Risk: As any other business we also could be affected by any political disturbances that may occur in our country. Although we are not significantly affected by it, however it may cause us a great loss. Such as what happening currently in Egypt, due to the curfews many nurseries had to close and lots of parents afterwards was afraid to send their children to any place due to the disturbances. Changes in Tax Policies: During our current times new ministries and political parties in the country are talking about making many changes. One of the changes that may occur is changing the tax policies and regulations. Income taxes in Egypt currently are 20% but there is a talk that they want it to be a progressive tax. This may cause us to pay more taxes in the future.

Assumption Table: The following assumptions are critical to any business. We are going to be conservative in our assumptions. We will assume that the interest rate on both long-term and short-term loans in the Egyptian financial market is going to be 13% and the tax rate as authorized by th e Tax Authority is 20%.

Projected Cash Flow: Statement of cash flow is important for fulfilling the financial picture for the state of the business. It provides validity and accountability to the financial statements. Cash flow is important for Fors Kinda because we are going to depend on the cash on hand for a while. Most of our expansions will depend on the retained earnings. Accordingly cash flow will affect our business significantly. Below you will find the projected cash flow of the first year which depends mainly on sales and accounts payable.

Balance Sheet: Balance sheet is extremely important and often used statement for any business. It shows the extent of entity ownership of assets, liabilities and equity at a given point of time. It mirrors the three aspects of the accounting equation, assets, liabilities and owners equity. Another importance of the balance sheet is that it shows the net worth of the business. We have accomplished at the first year a net worth of L.E 238747 which is a bit high relative to the industry. It was not expected because we are still a new business and there is no much of retained earnings. The next years shows managed and growing net worth which indicates a healthy financial position. Explain Ratios: The next section will show the projected business ratios for our industry. But we want to emphasize on certain ratios. First is the net worth, the net worth of the industry is 40.79%., while our ratio in the first year was 59.95% which is very high relative to the industry. Secondly is the current ratio. Current ratio in the industry is 0.99 while ours in the first year was 2.83, this shows that we have a good liquidity position and we are going to be able to pay our debts. This also reflects that we dont depend on much debt which is less risky.