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Earthly Clean

Company Summary

Earthly Clean has been formed as an Illinois registered LLC. The company has been founded by Devon McGregor. The company exists to distribute environmentally friendly cleaning supplies through an efficient, networking distribution system.

2.1 Start-up Summary

Earthly Clean has incurred the following expenses for the start-up phases of the organization:

  • Storage space: This will be used for the storage of product inventory. While Earthly Clean could get away with a smaller space such as a closet in Devon’s home, he is able to achieve costs breaks by purchasing larger quantities and will take these discounts and place the inventory in storage.
  • Service provider fees: Earthly Clean has incurred both accountant and attorney fees in the set up of the business. The accountant will set up the PeachTree accounting system and the attorney will develop and register the business formation as well as draft some sale agreements for distributors.
  • Computer system: The computer system will be used for correspondence, accounting purposes as well as to develop marketing and sales information. The system will include a laptop computer, printer, fax/scanner, and a broadband Internet connection. Earthly Clean will use Microsoft Office and PeachTree Accounting as their preferred software.
  • Assorted types of paper and stationery: Personalized with a logo, return addresses, etc. for catalogs, and brochures. 
  • Assorted office furniture and accessories: The office will be located in Devon’s house.
Mlm cleaning products business plan, company summary chart image

Start-up Funding
Start-up Expenses to Fund $9,140
Start-up Assets to Fund $40,860
Total Funding Required $50,000
Non-cash Assets from Start-up $5,000
Cash Requirements from Start-up $35,860
Additional Cash Raised $0
Cash Balance on Starting Date $35,860
Total Assets $40,860
Liabilities and Capital
Current Borrowing $0
Long-term Liabilities $20,000
Accounts Payable (Outstanding Bills) $0
Other Current Liabilities (interest-free) $0
Total Liabilities $20,000
Planned Investment
Family & Friends $20,000
D. McGregor $10,000
Additional Investment Requirement $0
Total Planned Investment $30,000
Loss at Start-up (Start-up Expenses) ($9,140)
Total Capital $20,860
Total Capital and Liabilities $40,860
Total Funding $50,000
Start-up Expenses
Professional service providers $4,000
Paper products $250
Website development $2,000
Storage rental $165
Expensed Equipment – Computer system $2,500
Insurance $75
Rent $150
Total Start-up Expenses $9,140
Start-up Assets
Cash Required $35,860
Other Current Assets $0
Long-term Assets $5,000
Total Assets $40,860
Total Requirements $50,000

2.2 Company Ownership

Earthly Clean is solely owned by Devon McGregor. In addition to his own investment Devon has received an investment from friends and family as well as a long-term bank loan.