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Variable expenses are those expenses that track directly with sales. If sales stop they stop. These are expenses like supplies used to support in the making of your product or doing your service. Such things as shipping cost for raw materials for your product or service. If you have no sales then you're not going to be purchasing materials so your shipping cost for those materials will stop as well. As an example, if you have a lawn mowing business and there are no lawns to mow, then you wouldn't be buying gasoline to travel to your lawn mowing site. These kinds of things are variable expenses. If you're producing a product, it would include supplies used to produce that product like sand paper, glue, finishing materials, cutting tools, etc.

Next, introduce yourself, focusing on your prior experience as is applicable to the new business. If there are partners in the business, the same information goes for each of them. Prepare rsums for yourself and each partner. Be factual and avoid self_aggrandizement. This portion of your business plan will be meticulously reviewed by those with whom you are forging relationships, including lenders, investors, and vendors. If you have personnel shortcomings that you plan to hire or contract to fill, include that here too. For example, if you do not have business budgeting experience, indicate that you intend to contract an experienced financial professional to maintain your books and offer guidance where necessary.

Source: Propertymgmt-hayward.com
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