Victorian Renovations
Company Summary
Victorian Renovations is a vintage house renovator based in Portland, OR. We purchase dilapidated buildings at low cost and renovate them in vintage Victorian style, they are then rented to young families and couples. We are a privately-owned Oregon corporation. We are relatively small, but have a good understanding of the market, a background in this industry, and a great passion for our work.
2.1 Start-up Summary
The company was started when these two business colleagues realized the number of old dilapidated homes in Portland in need of repair and correspondingly the growth in popularity of older restored homes.
They have recently located the house on Pearl and Fifth and are in the process of obtaining a loan. Each partner will contribute investment which will be used to cover the down payment of 20%, the mortgage payments for the first six months while the house is being renovated, and the materials and labor to develop the building. Much of the work will be done by Doug and Sarah, since they are both owners of older homes and have completed much of the renovation and repair to those homes themselves.
Other costs associated with start-up are the legal costs of incorporating the business and building insurance.
| Start-up | |
| Requirements | |
| Start-up Expenses | |
| Legal | $500 |
| Insurance | $250 |
| Total Start-up Expenses | $750 |
| Start-up Assets | |
| Cash Required | $74,500 |
| Other Current Assets | $750 |
| Long-term Assets | $144,000 |
| Total Assets | $219,250 |
| Total Requirements | $220,000 |
| Start-up Funding | |
| Start-up Expenses to Fund | $750 |
| Start-up Assets to Fund | $219,250 |
| Total Funding Required | $220,000 |
| Assets | |
| Non-cash Assets from Start-up | $144,750 |
| Cash Requirements from Start-up | $74,500 |
| Additional Cash Raised | $0 |
| Cash Balance on Starting Date | $74,500 |
| Total Assets | $219,250 |
| Liabilities and Capital | |
| Liabilities | |
| Current Borrowing | $0 |
| Long-term Liabilities | $160,000 |
| Accounts Payable (Outstanding Bills) | $0 |
| Other Current Liabilities (interest-free) | $0 |
| Total Liabilities | $160,000 |
| Capital | |
| Planned Investment | |
| Sarah Renner | $30,000 |
| Doug Machen | $30,000 |
| Other | $0 |
| Additional Investment Requirement | $0 |
| Total Planned Investment | $60,000 |
| Loss at Start-up (Start-up Expenses) | ($750) |
| Total Capital | $59,250 |
| Total Capital and Liabilities | $219,250 |
| Total Funding | $220,000 |
2.2 Company Ownership
Victorian Renovations is a privately-held Oregon corporation. It is jointly owned by friends and business partners, Sarah Renner and Doug Machen.
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