Can you fund a new location?
Test opening costs and a slower ramp against the business you already have. A scoped expansion review connects the new location to the full cash picture.
Free 30 minutes with ClarIQ Advisory. Family run. Human-reviewed work.
Test the ramp before signing.
The second location shares the first one's cash.
Opening cash: $180,000. Setup paid before month one: $90,000. Existing location contributes $12,000 cash per month. No new financing is assumed.
| Month | Existing site | New site | Ending cash |
|---|---|---|---|
| 1 | $12,000 | -$18,000 | $84,000 |
| 2 | $12,000 | -$12,000 | $84,000 |
| 3 | $12,000 | -$6,000 | $90,000 |
| 4 | $12,000 | $0 | $102,000 |
| 5 | $12,000 | $6,000 | $120,000 |
| 6 | $12,000 | $12,000 | $144,000 |
The lowest month-end balance is $84,000, above the illustrative $75,000 reserve. This case still needs a weekly cash check and a longer forecast before a commitment.
What this example leaves out
Taxes, financing, changes in the original site's sales, and later capital spending are excluded. New-site cash includes its operating receipts and payments in this simplified example. Your reserve, timing, and full forecast must be established from your own records.
Expansion deserves its own scope.
- 01
Keep the existing business visible
Model the established operation on its own, then add the new site. Shared overhead and displaced sales must be explicit.
- 02
Put the opening costs on dates
Deposits, fit-out, equipment, recruiting, and working capital do not arrive together. The calendar matters as much as the total.
- 03
Test a slower opening and ramp
Compare cash, operating contribution, and funding needs over a horizon long enough to include the ramp. Check the tighter weeks as well as month-end.
Build on a clear starting point.
Before we begin
What is a second location financial analysis?
The review this page walks through: the existing operation modeled on its own, opening costs put on dates, and a slower ramp tested against the planned one, so the cash schedule shows what the whole business can fund.
Do I need to become a monthly client?
No. A one-off review stands on its own. If ongoing reporting would help, we explain that option after the decision is clear.
What if my records are incomplete?
We identify the missing evidence before agreeing the work. If bookkeeping cleanup is needed, we help you define that gap for your bookkeeper or a suitable partner.
What does it cost, and how long does it take?
The free call establishes fit. You receive a written scope, fee, required records, and delivery date before paid work begins. Timing starts from usable data and agreed access. No purchase is required to book the call.
Check what expansion asks of the whole business.
Bring the proposed location, your intended timing, and the assumptions you already have. We will scope a review around the decisions still open.
Get a free callFree 30-minute call. We agree the scope and fee before any paid work. How your information is handled.