Part 1: Developing a Business Plan

Operating and Working Capital

Yes
No
Amount
1. Are there interest costs during construction?      
2. Are there any estimated amount of interest costs relating to the bridge financing?      
3. Is there prepaid rent?      
4. Are there prepaid insurance costs?      
5. Are there legal and accounting fees at start up?      
6. Are there inventory requirements?      

7. Identify any other prepaid operating expenses.

 
 
 
 
 

8. Are these amounts included in the project costs? Yes? No?

If not, how will you cover them?

 
 
 
 
 


9. Are these amounts included in the projections and cash flows? Yes? No?

10. Are there adjustments to the purchase price due to a change of ownership? If so, specify below.

Item Dollar amount


Property taxes

 

Insurance
 

Provincial sales tax
 

GST
 

Land transfer tax
 

Other (specify)
 

11. Are there advertising and promotion costs at start up as described in your promotional plan? Examples: Grand opening, door prizes.

Yes? No?

If so, what is the estimated amount?

Business Advisors

Are there business advisor costs? Yes? No?

If yes, what is the estimated amount? $

Cost Overruns

Indicate whether the following costs are firm, such as an offer to purchase, or firm price contracts, or whether they are estimates or quotes.

  Firm Estimates

Land
   

Building
   

Building renovations/leasehold improvements/construction
   

Livestock
   

Equipment
   

Operating and start up costs
   

Change of ownership
   

Other assets
   

1. What is the possibility of an overrun? Low? Normal? High?

2. What are your reasons for this assessment?

 
 
 

3. What is the likely amount of an overrun? $

4. What additional resources do you have to cover an overrun?

 
 
 

Details of financing

1. Identify the amount and sources of new cash you are investing in the business.

How much?

Sources of the contribution. Examples: Savings, personal loans?

 
 
 

2. If the contribution is coming from savings, provide supporting documents and attach to business plan

3. If the contribution is coming from a personal loan or a loan from a relative, provide the following information:

Amount: $

Name of Lender:

Repayment terms. Examples: Monthly payment, interest rates.

 
 
 

Can you repay the personal loan from sources outside the business? Yes? No?

If not, have the payments been taken into account in projecting management salaries and owners drawings? Yes? No?

Maturity date:

Security pledged against the loan:

Provide supporting documents for the loans to the business plan.

4. Provide the following information about commercial financing:

Name of lender
Line of credit amount
Long term loan amount


   


   


   


   

Repayment terms. Examples: Monthly payment, interest rates, whether the payments are blended or straight line.

 
 
 

What is the maturity date of the loans?

 
 
 

What is the security pledged against the loan:

 
 
 

Is it confirmed? Yes? No?

If not:

Is the proposed lender prepared to consider lending the above amount under the repayment terms and interest rates you stated? Yes? No?

What was the lender's initial response to your project?

 
 
 

5. Does the financing include cash from operations? Yes? No?

If so, provide the following information:

Amount: $

Do the latest financial statements show that this money is available now in cash? Yes? No?

If not, does the projected monthly cash flow show that this money will be available? Yes? No?

Does the projected montly cash flow show that the business can meet all its operating requirements without these funds? Yes? No?

6. Does the financing include seat labout / equity? Yes? No?

If so, provide the following information:

Amount: $

Who is providing the labour?

 
 
 

How was the value arrived at?

 
 
 

7. Does the financing include other sources of financing? Examples: State, or provincial contributions. Yes? No?

If so, provide the following information:

Amount: $

Name of source:

Contact person and phone number:

It is repayable? Yes? No?

If so, provide the following information:

Repayment terms. Examples Monthly payment, interest rate, whether the payments are blended or straight line.

 
 
 

Maturity date:

 
 
 

Security pledged against the loan:

 
 
 

Is it confirmed? Yes? No?

If not, provide the following information:

Is the proposed source prepared to consider lending the above amount under the repayment terms and interest rates you stated?

Yes?

No?

What is thier inititial response to your project?

 
 
 

8. Are there other sources of financing that require bridge financing? Yes? No?

If so, provide the following information:

Who is providing the bridge financing?

 
 
 

Contact name and phone number:

 
 
 

What are the terms and conditions of the loan?

 
 
 

Is it confirmed? Yes? No?

If not, provide the following information:

Is the proposed source prepared to consider the amount? Yes? No?

What is their initial response to your project?

 
 
 

Continue to business cost and financing

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