Complete 2012 forensic audit documents - Kansas Bioscience ...

Updating the model from the Kansas Bioscience Park Venture Accelerator Business Plan for the
actual tenant revenue from FY2011, and the updated budget for FY2012, the losses in the first
two fiscal years are more substantial than the initial estimates.
Year 1 Year 2
FY2011 FY2012
Tenant Revenue $ 4,534 $ 181,200
Utilities 3,040 66,880
Service Contract 11,692 69,256
Office Expense & Supplies 928 10,584
Property Insurance 2,560 10,240
Staff Salaries/Benefits 65,283 96,798
Dues/Memberships 336 336
Meetings/Travel 5,120 5,120
Marketing Services 83,200 52,480
Property Tax Special Assessment - 9,318
172,159 321,012
Budgeted Cash Reserve/(Loss) $(167,625) $(139,812)
Total Venture Accelerator Operating Budget
The Total Venture Accelerator Operating Budget shows losses per year averaging around
$200,000 for the first five years. The office space that KBA leased from Cedar Creek
Development VI, LLC was at $13,016 per month or approximately $156,000 per year, assuming
no price increase. Therefore, the cost of operating the Venture Accelerator, as opposed to
leasing office space, at budgeted capacity, is approximately $50,000 more per year.
Below is the operating budget for KBA space as well as tenant space.
Year 1 Year 2 Year 3 Year 4 Year 5
FY2011 FY2012 FY2013 FY2014 FY2015
Budgeted Tenant Revenue $ 23,201 $ 279,045 $ 329,712 $ 342,501 $ 355,710
Utilities 4,750 104,500 107,113 109,790 112,535
Service Contract 16,300 96,400 98,810 101,280 103,812
Office Expense & Supplies 1,288 15,564 18,114 18,614 18,614
Property Insurance 4,000 16,000 16,400 16,810 17,230
Staff Salaries/Benefits 102,005 151,247 163,134 171,361 180,010
Dues/Memberships 525 525 1,025 1,025 1,025
Meetings/Travel 8,000 8,000 8,000 8,000 8,000
Marketing Services 130,000 82,000 82,000 82,000 82,000
Property Tax Special
Assessment - 14,560 14,268 13,976 13,685
266,868 488,796 508,864 522,856 536,911
Budgeted Cash Reserve(Loss) $ (243,667) $ (209,751) $ (179,152) $ (180,355) $ (181,201)
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