Curriculum Companion Suites
Curriculum Companion Suites is a start-up comprised of six executives. These executives represent all functional areas, with 70 years of combined experience in the software development industry. Two majority shareholders, Andrew Christiansen and David Fields, own 80% of the company. The bulk of outside financing will come from a 10-year Small Business Administration (SBA) loan.
2.1 Company Ownership
CSS is incorporated in the state of Oregon by Andrew Christiansen and David Fields. Other investors own a minority stake. At the moment, the company does not have plans for going public, as most of the financing is raised internally.
CSS is a start-up company that was registered in the year 2000.
2.2 Start-up Summary
Of the total start-up expenses, the lion’s share has been spent on software licenses. Estimated start-up cash requirements should be sufficient to cover ongoing expenses in the first months of operation. Christiansen and Fields have each invested heavily, with the rest of investment coming from minority shareholders. The company has also secured a 10-year SBA loan and a one-year loan from its bank. Following is a chart and table summarizing projected initial start-up costs.
|Total Start-up Expenses||$24,000|
|Other Current Assets||$75,000|
|Start-up Expenses to Fund||$24,000|
|Start-up Assets to Fund||$355,000|
|Total Funding Required||$379,000|
|Non-cash Assets from Start-up||$175,000|
|Cash Requirements from Start-up||$180,000|
|Additional Cash Raised||$0|
|Cash Balance on Starting Date||$180,000|
|Liabilities and Capital|
|Accounts Payable (Outstanding Bills)||$1,000|
|Other Current Liabilities (interest-free)||$0|
|Additional Investment Requirement||$0|
|Total Planned Investment||$178,000|
|Loss at Start-up (Start-up Expenses)||($24,000)|
|Total Capital and Liabilities||$355,000|