Advertising Agency Business Plan

Promerit Advertising

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Company Summary

Promerit Advertising will design, build, test and deploy the email campaign.  It will also report the progress of the campaign in real-time to provide our customers maximum flexibility.  At the end of the campaign, Promerit will analyze its success in order to improve the company's future campaigns. 

2.1 Company Ownership

Robert Humphrey and Cheryl Littlejohn are the owners of Promerit Advertising.

2.2 Start-up Summary

Robert Humphrey and Cheryl Littlejohn will invest equally in the company.  They will also secure a long-term business loan.  The following table and chart show projected initial start-up costs of Promerit Advertising.

Start-up Funding
Start-up Expenses to Fund $34,500
Start-up Assets to Fund $165,500
Total Funding Required $200,000
Assets
Non-cash Assets from Start-up $10,000
Cash Requirements from Start-up $155,500
Additional Cash Raised $0
Cash Balance on Starting Date $155,500
Total Assets $165,500
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $100,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $100,000
Capital
Planned Investment
Robert Humphrey $50,000
Cheryl Littlejohn $50,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $100,000
Loss at Start-up (Start-up Expenses) ($34,500)
Total Capital $65,500
Total Capital and Liabilities $165,500
Total Funding $200,000
Start-up
Requirements
Start-up Expenses
Legal $1,000
Stationery etc. $1,000
Brochures $1,000
Advertising $20,000
Expensed Computer Equipment/Software $10,000
Insurance $0
Rent $1,500
Research and Development $0
Other $0
Total Start-up Expenses $34,500
Start-up Assets
Cash Required $155,500
Other Current Assets $10,000
Long-term Assets $0
Total Assets $165,500
Total Requirements $200,000
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Start-up Funding
Start-up Expenses to Fund $34,500
Start-up Assets to Fund $165,500
Total Funding Required $200,000
Assets
Non-cash Assets from Start-up $10,000
Cash Requirements from Start-up $155,500
Additional Cash Raised $0
Cash Balance on Starting Date $155,500
Total Assets $165,500
Liabilities and Capital
Liabilities
Current Borrowing $0
Long-term Liabilities $100,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $100,000
Capital
Planned Investment
Robert Humphrey $50,000
Cheryl Littlejohn $50,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $100,000
Loss at Start-up (Start-up Expenses) ($34,500)
Total Capital $65,500
Total Capital and Liabilities $165,500
Total Funding $200,000
Start-up
Requirements
Start-up Expenses
Legal $1,000
Stationery etc. $1,000
Brochures $1,000
Advertising $20,000
Expensed Computer Equipment/Software $10,000
Insurance $0
Rent $1,500
Research and Development $0
Other $0
Total Start-up Expenses $34,500
Start-up Assets
Cash Required $155,500
Other Current Assets $10,000
Long-term Assets $0
Total Assets $165,500
Total Requirements $200,000