INNOVATION IN BUSINESS ENTREPRENEURSHIP MANUAL

MANUAL INNOVACIÓN EN EL EMPRENDIMIENTO EMPRESARIAL

Table 13. Pension balance sheets (Source: Prepared by the authors)

Financial ratios indicate excellent short-term liquidity, with the acid test ratio increasing year on year. Financial independence has been above 50% since year two, continuing to climb to 87% in year five.

Economic profitability (ROI) starts from a negative figure in year one, moving to positive digits in the following years, conditioned by the investments undertaken at each stage, reaching a return on assets of 68% in year five. The financial profitability (ROE) has a similar trend to the economic profitability, reaching its maximum in year two with a rate of 100%. The internal rate of return (IRR), given the expected revenues and costs, is 178%. The net present value (NPV) achieved in this scenario, considering the fifth year WACC (14%) as the discount rate and a zero residual value, is 5,762 thousand euros. In addition, other scenarios have been calculated in which the residual value of the company is estimated, with the project being profitable in any of them.

In short, this Business Plan presents a four-fold viability:

• It is strategically viable, insofar as it satisfies a current and well- defined "Pain Factor". • It is commercially viable, as it ensures that the designed value proposition fits perfectly with the target audience. • It is operationally feasible, taking into account the resources and capacities of the team that will carry it out. • It is financially viable, as demonstrated by the ratios obtained in the detailed economic analysis of the project.

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European Open Business School