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Spanish Resources

Company Summary

Spanish Resources will be incorporated in the state of Connecticut as a general corporation (Subchapter C).

The company will provide website development services to tourism destinations in Mexico. Although the company has no operating history, the founders, Carolyn and Jerry, have extensive experience in the competencies required for the company to succeed. The company will have a more than adequate amount, with $300,000 investment.

2.1 Start-up Summary

There are three features of the start-up expenses that are worth noting.

First, the research and development expense involves the founders traveling to appropriate destinations to gather first-hand information about the market and market conditions.

Second, the company is investing heavily in sales collateral because of the need to project a strong quality image from the company’s inception.

Third, the company is assuming the need for only a single base of operations.

Tourism website services business plan, company summary chart image

Start-up Expenses
Legal $5,000
Stationery etc. $1,000
Brochures $7,500
Consultants $20,000
Insurance $2,000
Rent $1,500
Research and development $20,000
Expensed equipment $500
Other $5,000
Total Start-up Expenses $62,500
Start-up Assets
Cash Required $367,500
Other Current Assets $0
Long-term Assets $20,000
Total Assets $387,500
Total Requirements $450,000
Start-up Funding
Start-up Expenses to Fund $62,500
Start-up Assets to Fund $387,500
Total Funding Required $450,000
Non-cash Assets from Start-up $20,000
Cash Requirements from Start-up $367,500
Additional Cash Raised $0
Cash Balance on Starting Date $367,500
Total Assets $387,500
Liabilities and Capital
Current Borrowing $100,000
Long-term Liabilities $0
Accounts Payable (Outstanding Bills) $50,000
Other Current Liabilities (interest-free) $0
Total Liabilities $150,000
Planned Investment
Founders $300,000
Other $0
Additional Investment Requirement $0
Total Planned Investment $300,000
Loss at Start-up (Start-up Expenses) ($62,500)
Total Capital $237,500
Total Capital and Liabilities $387,500
Total Funding $450,000