Part 1: Developing a Business Plan

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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