Business Cashflow Solutions, Inc.
Business Cashflow Solutions, Inc. is a new company that provides “instant cash flow for small- and medium-sized businesses” and reduces expenses associated with invoicing with the following services:
- Pre-Authorized Checking: Insures that monthly payments are received on time and therefore reduces invoicing costs.
- Electronic Payments: Offers timely funds settlements and a built-in recovery for NSF items, thereby keeping invoicing costs reduced.
- Electronic Check Conversion: Converts paper check into an electronic item at point-of-sale, saving time and money while reducing the risks of NSF checks.
- Electronic Check Recovery: NSF checks are submitted electronically via the ACH network, allowing fast and convenient collection of funds.
- Telephone Checks: Allows merchants to accept checks by telephone or fax.
2.1 Company Ownership
Business Cashflow Solutions is a Virginia corporation, subchapter S, based in Chesterfield County.
2.2 Start-up Summary
Our start-up costs come to $33,634. Start-up assets required include $5,885 in short-term assets (office furniture, office equipment, specialized printer, etc.) and $5,500 in initial cash to handle the first 6 months of expenses. The details are included in the following chart and table.
After planned owner investment of $10,000, you will find that we have $23,364 left to finance. The purpose of this plan is to secure financing for that amount.
Later in this plan, when you view the Balance Sheet, Cash Flow, and the Profit and Loss, you will notice that we have included debt and interest expenses based on an assumed $23,364 loan, financed at 9.5% for a 3-year term.
|Computer (Internet, File Transfer)||$0|
|Color Inkjet Printer||$0|
|Software (Microsoft Office, Graphics, Internet Publishing, etc.)||$0|
|Miscellaneous Office Supplies||$200|
|Setup Answering Service||$20|
|Web Site Hosting Setup||$25|
|Chamber of Commerce Membership||$325|
|Total Start-up Expenses||$22,249|
|Other Current Assets||$5,885|
|Start-up Expenses to Fund||$22,249|
|Start-up Assets to Fund||$11,385|
|Total Funding Required||$33,634|
|Non-cash Assets from Start-up||$5,885|
|Cash Requirements from Start-up||$5,500|
|Additional Cash Raised||$0|
|Cash Balance on Starting Date||$5,500|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$0|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|Total Planned Investment||$10,000|
|Loss at Start-up (Start-up Expenses)||($22,249)|
|Total Capital and Liabilities||$11,385|
2.3 Company Locations and Facilities
The office will be located in the residence of XYXY. There is a 200 square foot office area which will house the computer systems and laser printers that are utilized in providing our services.