Crest Systems

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Computers Reseller Business Plan

Company Summary

Crest Systems is a Value Added Reseller (VAR) that is focused on selling low-end inventory software and hardware products. The company markets Promerit Engineering software products to over 1,200 VARs that sell products in vertical markets. In addition, Crest Systems will market the software product to warehouse systems VARs who are looking for a low-end inventory software product.

2.1 Company Ownership

Richard Torres is the owner of Crest Systems. The company will be set up as a C Corporation. It is expected that this form of incorporation will allow room for growth and be an effective vehicle for acquiring additional capital in five to seven years.

2.2 Start-up Summary

The start-up cost of Crest Systems will consist primarily establishing an account receivable system and communication system for salespeople. Richard Torres will invest $50,000. He will also secure a $100,000 loan.

Start-up
Requirements
Start-up Expenses
Legal $1,000
Stationery etc. $300
Brochures $2,000
Office Equipment $6,000
Insurance $3,000
Rent $2,000
Phone System $2,000
Total Start-up Expenses $16,300
Start-up Assets
Cash Required $133,700
Other Current Assets $0
Long-term Assets $0
Total Assets $133,700
Total Requirements $150,000
Start-up Funding
Start-up Expenses to Fund $16,300
Start-up Assets to Fund $133,700
Total Funding Required $150,000
Assets
Non-cash Assets from Start-up $0
Cash Requirements from Start-up $133,700
Additional Cash Raised $0
Cash Balance on Starting Date $133,700
Total Assets $133,700
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
Investor 1 $50,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $50,000
Loss at Start-up (Start-up Expenses) ($16,300)
Total Capital $33,700
Total Capital and Liabilities $133,700
Total Funding $150,000