Research the existing (or potential) sources of funding available to your business, and describe how you will secure the funding best for your venture.

FINANCIAL ANALYSIS PROJECT

Research the existing (or potential) sources of funding available to your business, and describe how you will secure the funding best for your venture.

However, you will first need to figure out how much capital you will need. What are your costs of doing business?

For example, if you were opening a restaurant, then you might have to think about wages (for everyone from dishwashers to managers to what you pay yourself), rent, bulk-food rates, and many other things. Also, you must estimate your capacity based on your attainable resources.

[Fixed costs / (unit selling price – variable cost per unit)] = number of units needed to break even.

Next, you will need to use your research to make financial projections. Is your business financially feasible? Many investors, including banks and angel organizations, will want to see your projected venture outcomes – at least for year one.

Present your projected MONTHLY costs and sales for your first year of business. If you are not going to be profitable in year one, describe when you will be profitable – or why you believe you will not be . Also, if you find your business will not be profitable, then describe what might be done to make your venture profitable.

You must be able to justify your data (this will take some research). Include the names and places (sources) of your data in your synopsis.

Your text book has a good section on financial research, check it out.

See the Financial Analysis Project Rubric for more details.

VIDEO:
You must update your elevator pitch. You must update and record a new elevator pitch. Incorporate what you have learned! Upload your video to eCourseware. You may want to record at 480p to ensure your file is less than 1GB. This should be a 2-5 minute video.

WRITTEN SYNOPSIS:

The synopsis should include all the information you find and want graded. Include/describe all work/effort you put into the project. Be comprehensive.

The synopsis can be an essay or an outline, but it must include everything you want the professor to review for your project grade.

You must include the script (verbatim) for your elevator pitch.

You must describe your costs, in detail.

You must include your justifications for your costs. Be able to justify your data (this will take some research). am looking for real numbers, not just what you think others are doing. Get in the library (secondary data).

Interview the locals (primary data). Include the names and places (sources) of your data in your synopsis.

You must provide a break-even analysis. How many sales will you need to make to break even?

Use the price you came up with in your Marketing Project for the selling price.

If you have multiple products or service, use the expected average amount spent per customer (e.g., amount of an average dinner bill at your restaurant) or the price for your most common product or service (e.g., haircut).

Refer to your book for reminders on fixed vs. variable costs.

 

You must create an Excel spreadsheet of your monthly costs and sales for your first year in business. What are the first 12 months projections? Why do you think you will sell as much as you estimated?

Think about your percentage of the market based on the number of people you found in your target market area (Industry Analysis).

Use MS Excel to make a table of your projections for each of the first 12 months you will be in business.

You must report how you will attain funding. What sources of funding are available to you? Why did
you choose the funding source you did? How will you go about securing the funding? Be specific!

Synopsis Format:
Use MS Word, 12-point font, 1” margins, left justification. Your name and course number (MGMT 2820)
should appear in the header. You must submit the MS Word document (.doc/.docx) file, not a link to your
work.

Last Completed Projects