BikeArt
Company Summary
BikeArt is a stand alone kiosk located in the Valley River Mall that sells pieces of art, furniture, and other items manufactured out of recycled bicycle parts. While some of the items are functional, they all can be considered art as they are aesthetically pleasing. In addition to the kiosk, BikeArt will warehouse their purchased products as well as do the back end accounting in Steve Useitagyen’s home. Steve is the founder and operator of BikeArt.
BikeArt will use three part-time employees to man the kiosk, in addition to Steve who will take care of the hiring, payroll, and purchasing.
The business is forecasted to reach profitability by month nine and will have revenues of $147,000 by the end of year two.
2.1 Company Ownership
BikeArt is a sole proprietorship founded and owned by Steve Useitagyen.
2.2 Start-up Summary
BikeArt will incur the following start-up costs:
- Wheeled kiosk.
- Cash register.
- Computer system with printer and Internet connection.
- Desk, chair, and file cabinet.
- Legal fees associated with business formation and contract review.
| Start-up | |
| Requirements | |
| Start-up Expenses | |
| Legal | $300 |
| Insurance | $0 |
| Rent | $0 |
| Other | $0 |
| Total Start-up Expenses | $300 |
| Start-up Assets | |
| Cash Required | $41,600 |
| Start-up Inventory | $0 |
| Other Current Assets | $0 |
| Long-term Assets | $3,100 |
| Total Assets | $44,700 |
| Total Requirements | $45,000 |
| Start-up Funding | |
| Start-up Expenses to Fund | $300 |
| Start-up Assets to Fund | $44,700 |
| Total Funding Required | $45,000 |
| Assets | |
| Non-cash Assets from Start-up | $3,100 |
| Cash Requirements from Start-up | $41,600 |
| Additional Cash Raised | $0 |
| Cash Balance on Starting Date | $41,600 |
| Total Assets | $44,700 |
| Liabilities and Capital | |
| Liabilities | |
| Current Borrowing | $0 |
| Long-term Liabilities | $20,000 |
| Accounts Payable (Outstanding Bills) | $0 |
| Other Current Liabilities (interest-free) | $0 |
| Total Liabilities | $20,000 |
| Capital | |
| Planned Investment | |
| Steve | $25,000 |
| Other | $0 |
| Additional Investment Requirement | $0 |
| Total Planned Investment | $25,000 |
| Loss at Start-up (Start-up Expenses) | ($300) |
| Total Capital | $24,700 |
| Total Capital and Liabilities | $44,700 |
| Total Funding | $45,000 |
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