TWM is a start-up manufacturing firm which will be managed by four executives representing administration, marketing, sales, and finance. These executives bring to the company a large degree of experience in the equipment manufacturing industry. They perceive an opportunity to acquire a significant amount of market share by focusing on the specific needs of the commercial construction industry and by providing greater precision controls to their products than other competitors. The company will be organized as a closely-held corporation with a majority of the shares held by the four principle executives.
The company will be seeking to raise approximately $4.5 million in loans and another $500,000 from private investors for start-up purposes. The company will have one manufacturing facility in Spokane, Washington.
The company will be a closely-held corporation with six principle shareholders who will form the Board of Directors. It is anticipated that within the next five years, the company will be instituting a public offering to enlarge its ability to acquire financing. The principle owners will seek to retain the majority of the company's stock for the foreseeable future. The company is incorporated in the state of Delaware as this offers the most advantageous conditions of taxes etc.
The following table and chart illustrates projected initial start-up costs for the firm.