A8/A9: Business Plan Financials


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  • Agenda shows overview of the workshop and set tone for areas of discussion.
  • Self explanatory
  • Here, I explain the difference between an Income Statement which measures sales when they are made versus the Cash Flow statement which record the inflow and outflow of cash when it is actually received.
  • We explain the use of the Balance Sheet as the financial health of the company at a certain point in time. I discuss how the bank uses this as an indictor of source and use of money for the company as well as leverage and liquidity ratios.
  • The preceding slides on market analysis are critical to lay the foundation and logic for new startup businesses, for projections, since they have no past financial history. For existing businesses, the past history must me taken into account before doing the forecasting for the future.
  • Discussion on pricing in relation to market competitors.
  • Discussion on pricing in relation to market competitors.
  • A/R – management program As a source of funds Collection at due dates As borrowing base on RLOC Factoring As a collection item These are set up by order of expense and liquidity Selling your A/R’s (invoices) As compared to A/R financing Normally younger or weaker companies Factoring charges & discount fees Approx. 4-5% Factor looks at debtor credit worthiness Tries to be transparent to you client Increased cash flow Immediate funding Approval not based on your credit rating Doesn’t increase your debt to equity ratio Factor does own collection Non-recourse Short term cash source Relatively more expensive Factor does not own collection Recourse A/R have some liability to you Business Angels (apparently) invisible Fleeting Got to be good to find one Angels are small investor groups More informed in their industry Doctors, lawyer, successful business people Usually prefer technology or bio-techs Early (intro) stage capital Equity position Substantial but not controlling Presence on board of directors Size - $100k to 1,000k Usually look for exit plan Big brother version of Angels Larger investment $500k to $10mm and beyond Middle and later stage investors Try to get controlling interest Daily management oversight 10 X returns in 5-9 years Popular funding sources for Dot.coms Thorough and comprehensive bus. plan Make sure presentation is smooth Keep it to 8-10 minutes Practice, practice, practice !!! Start with strong opening Use visuals (PowerPoint) Easier to make your point Handouts Summarize your points and reasons they should invest !
  • A8/A9: Business Plan Financials

    1. 1. Business Plan Financials Mike S. Reyes, MBA Sr. Certified Business Advisor UTSA Institute for Economic Development Small Business Development Center
    2. 2. <ul><li>Brief review of business planning process </li></ul><ul><li>Analyze Market to arrive at Sales Projections </li></ul><ul><li>Financial Analysis </li></ul><ul><li>The Credit Process </li></ul><ul><li>Financing Needs-Purpose & Types of Loans </li></ul><ul><li>Q&A and Evaluations </li></ul>Agenda
    3. 3. SBDC Mission <ul><li>Promote </li></ul><ul><ul><li>Growth </li></ul></ul><ul><ul><li>Expansion </li></ul></ul><ul><ul><li>Innovation </li></ul></ul><ul><ul><li>Increased Productivity </li></ul></ul><ul><ul><li>Improved Management </li></ul></ul>
    4. 4. <ul><li>Training </li></ul><ul><ul><li>Feasibility </li></ul></ul><ul><ul><li>Business Plan </li></ul></ul><ul><ul><li>Internet </li></ul></ul><ul><ul><li>IRS Tax Education </li></ul></ul><ul><ul><li>QuickBooks Pro Accounting </li></ul></ul><ul><ul><li>How to Market Your Business </li></ul></ul><ul><ul><li>Money Management for Small Businesses </li></ul></ul>UTSA SBDC Services
    5. 5. <ul><li>Counseling </li></ul><ul><ul><li>Confidential, by appointment only </li></ul></ul><ul><ul><li>Business Startups and Existing Businesses </li></ul></ul><ul><ul><li>Analysis of Business Operation </li></ul></ul><ul><ul><li>Financial Analysis-Format </li></ul></ul><ul><ul><li>Human Resources </li></ul></ul><ul><ul><li>Recordkeeping </li></ul></ul><ul><ul><li>Marketing </li></ul></ul><ul><ul><li>Research Information </li></ul></ul>UTSA SBDC Counseling Services
    6. 6. Business Plan Development <ul><li>Feasibility Analysis </li></ul><ul><li>Funding Needs </li></ul><ul><li>Loan Proposal Structuring </li></ul><ul><li>Lender Evaluation </li></ul><ul><li>SBA Eligibility/Credit </li></ul>
    7. 7. Business Plan Tips <ul><li>Purpose </li></ul><ul><li>Your “reader” </li></ul><ul><li>Content vs. length </li></ul><ul><li>Organized information gathering system </li></ul><ul><li>Financial proposal </li></ul>
    8. 8. Business Plan <ul><li>Cover letter </li></ul><ul><li>Executive Summary </li></ul><ul><li>Table of Contents </li></ul><ul><li>Definition of Product or Service </li></ul><ul><li>Operations Overview </li></ul><ul><li>Market Analysis </li></ul>
    9. 9. Business Plan <ul><li>Marketing Plan </li></ul><ul><li>Management Profile </li></ul><ul><li>Financial Analysis </li></ul><ul><li>Supporting documents </li></ul>As you are writing your business plan, keep a running log of all expenditures to make sure the narrative corresponds with the financials.
    10. 10. Market Research <ul><ul><li>Market Research </li></ul></ul><ul><ul><ul><li>Industry trends </li></ul></ul></ul><ul><ul><ul><li>Description of total market </li></ul></ul></ul><ul><ul><ul><li>Competitive analysis </li></ul></ul></ul><ul><ul><ul><li>Demographic information </li></ul></ul></ul><ul><ul><ul><li>Documentation of demand for product or service </li></ul></ul></ul>
    11. 11. Research Strategies <ul><li>Free Small Business Resources Online </li></ul><ul><li>SBDC National Information Clearinghouse </li></ul><ul><li>http://sbdcnet.utsa.edu </li></ul><ul><li>Links of interest for entrepreneurs. Of particular interest is </li></ul><ul><li>the Industry Research section. </li></ul><ul><li>SIC/NAICS </li></ul><ul><li>U.S. Census Bureau </li></ul><ul><li>http://www.census.gov/epcd/www/naics.html </li></ul><ul><li>Identify the SIC and/or NAICS code for your line of business </li></ul>
    12. 12. Research Strategies Industry Trends BizJournals http://www.bizjournals.com/ Search Business Journals to find relevant business articles. Free site, requires registration. Searchable by industry and market (i.e. city). FindArticles http://www.findarticles.com/ Search for articles from numerous leading academic, industry and general interest publications. Industry Links http://www.irs.gov/businesses/small/industries/index.html Competitors/Suppliers SuperPages http://www.superpages.com/ Searchable by keyword by city, state or zip code. Also searchable by distance up to 100 miles from an address. Results can be viewed on a map.
    13. 13. Research Strategies <ul><li>Wage Setting Information </li></ul><ul><li>U.S. Department of Labor - Bureau of Labor Statistics </li></ul><ul><li>http://www.bls.gov/bls/blswage.htm </li></ul><ul><li>Identify wages for specific occupations on a national, regional, state, or Metropolitan Statistical Data (MSA) level. </li></ul><ul><li>America’s Career InfoNet </li></ul><ul><li>http://www.acinet.org//acinet/select_occupation.asp?stifips=&next=occ_rep </li></ul><ul><li>Wages and trends by occupation and state. </li></ul><ul><li>Demographics </li></ul><ul><li>American FactFinder from the U.S. Census Bureau </li></ul><ul><li>http://factfinder.census.gov </li></ul><ul><li>View demographic information by a state, county, city, or zip code level. </li></ul>
    14. 14. Startup Costs
    15. 17. <ul><li>Purpose - to show how money for transactions is accounted for in a given time period. </li></ul><ul><li>Indicates revenue, expenses, and resulting profits for that period of time. </li></ul>Profit & Loss Statement (Income Statement)
    16. 18. Key Elements of the Income Statement <ul><li>Gross Sales </li></ul><ul><li>Cost of Goods Sold </li></ul><ul><li>Gross Income </li></ul><ul><li>Operating Costs </li></ul><ul><ul><li>General & Admin </li></ul></ul><ul><ul><ul><li>Rent, </li></ul></ul></ul><ul><ul><ul><li>Wages </li></ul></ul></ul><ul><ul><ul><li>Utilities </li></ul></ul></ul><ul><ul><ul><li>Ad & Promotions </li></ul></ul></ul><ul><ul><ul><li>Etc. </li></ul></ul></ul><ul><ul><li>Depreciation & Amortization Expense </li></ul></ul><ul><li>Operating Income </li></ul><ul><li>Interest Income </li></ul><ul><li>Interest Expense </li></ul><ul><li>Income Before Taxes </li></ul><ul><li>Income Taxes </li></ul><ul><li>Net Income </li></ul>
    17. 19. Income/P&L Statement $24,000 Profit before Tax $58,000 Less Operating Exp. Rent, wages, utilities, etc. $82,000 Gross Profit $218,000 Less COGS $300,000 Gross Sales Year 1
    18. 20. <ul><li>Use assumptions from market research and industry averages </li></ul><ul><li>Realistic seasonal sales by the month </li></ul><ul><li>Method of payment for services </li></ul><ul><ul><li>Cash / Checks </li></ul></ul><ul><ul><li>Credit / Debit cards </li></ul></ul><ul><ul><li>Credit terms (30 days) </li></ul></ul><ul><li>Inventory purchasing </li></ul><ul><li>Use several different ways to project sales </li></ul><ul><li>Can the business sustain slow periods </li></ul>Cash Flow Projections
    19. 21. Key Elements of the Cash Flow Statement <ul><li>1) Cash inflow and outflow from operations </li></ul><ul><li>2) Cash inflow and outflow from investing </li></ul><ul><li>3) Cash inflow and outflow from financing </li></ul>Outflow Inflow CASH
    20. 22. Cash Flow Reasonable assumptions Seasonality Aging of accounts receivable 26,0000 24,000 23,000 End of Month 20,000 18,000 14,000 Less Expenses 46,000 42,000 37,000 Available Cash 22,000 19,000 12,000 Plus Revenues 24,000 23,000 25,000 Cash on Hand Month 3 Month 2 Month 1
    21. 23. <ul><li>Purpose- to provide a ‘snapshot’ of a business’s financial position at a given point in time. </li></ul><ul><li>Illustrates what the business owns, what it owes and what the business’s net worth is at a given point in time. </li></ul><ul><li>Total assets should equal the sum of the total liabilities and the net worth. </li></ul>Balance Sheet
    22. 24. Key Elements of the Balance Sheet <ul><li>Current Assets </li></ul><ul><ul><li>Cash & Cash Equivalents </li></ul></ul><ul><ul><li>Accounts Receivable </li></ul></ul><ul><ul><li>Inventories </li></ul></ul><ul><li>Fixed Assets </li></ul><ul><ul><li>Property, Plant & Equipment </li></ul></ul><ul><li>Intangible Assets </li></ul><ul><li>Liabilities & Capital /Net Worth </li></ul><ul><li>Current Liabilities </li></ul><ul><ul><li>Current portion of long term debt </li></ul></ul><ul><ul><li>Accounts Payable </li></ul></ul><ul><ul><li>Accrued Payroll </li></ul></ul><ul><li>Long term Liabilities </li></ul><ul><ul><li>Long-term Debt </li></ul></ul><ul><li>Net Worth (Equity) </li></ul>
    23. 26. Personal Financial Data <ul><li>Personal Balance Sheet </li></ul><ul><ul><li>Resources </li></ul></ul><ul><ul><li>Obligations </li></ul></ul><ul><ul><li>Dependence on business </li></ul></ul><ul><li>Credit Report </li></ul>
    24. 28. Financing Needs Purpose & Types of Loans
    25. 29. Determining Sources & Uses of Funds <ul><li>Sources should match Uses </li></ul><ul><li>Long lasting (fixed) assets funded by long term or equity funds </li></ul><ul><ul><li>Ex. Buildings with mortgage loans </li></ul></ul><ul><li>Short term (current) assets funded by short or “current” liabilities </li></ul>
    26. 30. Purpose of Loans (Short term) <ul><li>Short term (< 1 year): </li></ul><ul><ul><li>Working capital </li></ul></ul><ul><ul><ul><li>A/R financing </li></ul></ul></ul><ul><ul><ul><li>Inventory increases </li></ul></ul></ul><ul><ul><ul><li>Raw material increases </li></ul></ul></ul><ul><ul><ul><li>Payroll gaps </li></ul></ul></ul><ul><ul><li>Business cycle (Seasonal) loans </li></ul></ul><ul><ul><ul><li>Peak selling seasons </li></ul></ul></ul><ul><ul><ul><li>Ag loans </li></ul></ul></ul><ul><ul><li>Interim construction loans </li></ul></ul>
    27. 31. Types of (Short Term) Loans <ul><li>Term loans (90-180 days) </li></ul><ul><li>Revolving lines of credit </li></ul><ul><li>Letters of credit </li></ul><ul><li>Business Credit cards </li></ul><ul><li>Interim construction loans(< 1 year) </li></ul><ul><li>Shareholder (subordinated) loans </li></ul>
    28. 32. Purpose (long term) Loans <ul><li>Long term loans (> 1 year) </li></ul><ul><ul><li>Equipment loans </li></ul></ul><ul><ul><li>Leasehold improvements </li></ul></ul><ul><ul><li>Permanent working capital </li></ul></ul><ul><ul><li>Product development ( R&D) </li></ul></ul><ul><ul><li>Real Estate </li></ul></ul><ul><ul><ul><li>Expand existing facilities </li></ul></ul></ul><ul><ul><ul><li>Build new facility </li></ul></ul></ul>
    29. 33. Types of (long term) Loans <ul><li>Installment </li></ul><ul><ul><li>Principal & interest </li></ul></ul><ul><li>Self amortizing </li></ul><ul><li>Balloon payment </li></ul><ul><li>Real estate </li></ul><ul><ul><li>Interim </li></ul></ul><ul><ul><li>Permanent </li></ul></ul>
    30. 34. <ul><li>Existing Businesses </li></ul><ul><ul><li>Historic Information </li></ul></ul><ul><ul><ul><li>Past three year trend analysis </li></ul></ul></ul><ul><li>Start-up Businesses </li></ul><ul><ul><li>Market Share </li></ul></ul><ul><ul><li>Analyze Competition </li></ul></ul><ul><ul><li>Production Capacity </li></ul></ul>Forecasting Techniques
    31. 35. Projected Target Market Sales <ul><li>Total hair salon sales, Your City = $2 mm </li></ul><ul><li>Total number of hair salons = 12 </li></ul><ul><li>Average Sales per salon ($2mm/12) = $167k </li></ul><ul><li>Projected sales </li></ul><ul><ul><li>Conservative $167 x .80= $133k </li></ul></ul><ul><ul><li>Expected $ 167 x 1.0 = $167k </li></ul></ul><ul><ul><li>Best case $167 x 1.2 = $200k </li></ul></ul>
    32. 36. <ul><li>Industry related factors </li></ul><ul><li>Competitor related factors </li></ul><ul><li>Customer related factors </li></ul><ul><li>Other factors </li></ul><ul><ul><li>Economy </li></ul></ul><ul><ul><li>Regulations </li></ul></ul><ul><ul><li>Etc. </li></ul></ul>Factors to Consider when Targeting the Right Price
    33. 37. Pricing Characteristics <ul><li>Elasticity of demand </li></ul><ul><li>Competitors price range </li></ul><ul><li>Perceived image </li></ul><ul><li>Intangibles </li></ul><ul><ul><li>Quality </li></ul></ul><ul><ul><li>Service </li></ul></ul><ul><ul><li>Added value </li></ul></ul><ul><ul><li>Convenience </li></ul></ul>
    34. 38. Lender Evaluation
    35. 39. The Expectations of the Banker
    36. 40. A Banker ... When developing your business plan and loan proposal, remember to address the needs of your reader. … is not a venture capitalist. … is not a private investor. … is not a microloan lender. … wants reasonable assurance of repayment ability from the cash flow of the business.
    37. 41. Six C’s of Credit <ul><li>Character </li></ul><ul><ul><li>Honesty </li></ul></ul><ul><ul><li>Reliability </li></ul></ul><ul><ul><li>Trustworthiness </li></ul></ul><ul><li>Credit History </li></ul><ul><ul><li>Past payment record </li></ul></ul><ul><ul><li>Public records </li></ul></ul><ul><li>Capacity </li></ul><ul><ul><li>Financial strength </li></ul></ul><ul><ul><li>Ability to manage business </li></ul></ul>
    38. 42. Six C’s of Credit <ul><li>Capital </li></ul><ul><ul><li>Cushion for recessionary times </li></ul></ul><ul><ul><li>Commitment to business </li></ul></ul><ul><ul><li>Value as investment </li></ul></ul><ul><li>Collateral </li></ul><ul><ul><li>Secondary repayment source </li></ul></ul><ul><ul><li>Reduces loss to bank (liquidation) </li></ul></ul><ul><ul><li>Willingness to pledge personal assets </li></ul></ul>
    39. 43. Six C’s of Credit <ul><li>Conditions </li></ul><ul><ul><li>External forces that can affect business (From Market Research) </li></ul></ul><ul><ul><ul><li>Economic </li></ul></ul></ul><ul><ul><ul><li>Social </li></ul></ul></ul><ul><ul><ul><li>psychographics </li></ul></ul></ul><ul><ul><ul><li>Regulatory </li></ul></ul></ul><ul><ul><li>Poor business cycle timing </li></ul></ul><ul><ul><li>Competitive environment (Market Research) </li></ul></ul>
    40. 44. Borrowing Reality <ul><li>Owner Injection: 25-30% for startup </li></ul><ul><li>Existing: 20-25% equity </li></ul><ul><li>Good Credit </li></ul><ul><li>Collateral </li></ul><ul><li>Repayment ability </li></ul>
    41. 45. Choosing a Bank <ul><li>Talk to your present banker: </li></ul><ul><ul><li>Knows your business </li></ul></ul><ul><ul><li>Track record </li></ul></ul><ul><ul><li>Credit history </li></ul></ul><ul><ul><li>Help from SBA/SBDC for banker </li></ul></ul><ul><li>SBA PLP/CLP bank list (www.sba.gov) </li></ul>
    42. 46. SBA Programs & Eligibility
    43. 47. Benefits <ul><li>Reduces Risk to Lender </li></ul><ul><li>Longer Terms </li></ul><ul><li>Lower Interest </li></ul><ul><li>Supports Start-up Position </li></ul>
    44. 48. SBA Eligibility/Credit <ul><li>Eligibility </li></ul><ul><ul><li>Business size </li></ul></ul><ul><ul><li>Type of business </li></ul></ul><ul><ul><ul><li>Legal </li></ul></ul></ul><ul><ul><ul><li>Non-investment property </li></ul></ul></ul><ul><ul><li>Use of proceeds </li></ul></ul><ul><li>Credit Analysis </li></ul><ul><li>Role as a guarantor </li></ul><ul><li>Benefits to obtaining an SBA guarantee </li></ul>
    45. 49. Most Common Ineligible Businesses or Situations <ul><li>Non-profit </li></ul><ul><li>Financial Institutions </li></ul><ul><li>Real Estate Investment (non-owner occupied) </li></ul><ul><li>Limited membership clubs </li></ul><ul><li>Over 1/3 revenue from legal gambling </li></ul><ul><li>Default on federal loans </li></ul><ul><li>Probation/Parole </li></ul><ul><li>Religious teaching </li></ul><ul><li>Prurient sexual nature </li></ul>
    46. 50. Loan Purposes <ul><li>Working Capital </li></ul><ul><li>Machinery &Equipment </li></ul><ul><li>Inventory </li></ul><ul><li>Furniture & Fixtures </li></ul><ul><li>Leasehold Improvements </li></ul><ul><li>Expansion </li></ul><ul><li>Renovations </li></ul>
    47. 51. Loan Purposes <ul><li>Construction of new building </li></ul><ul><li>Land </li></ul><ul><li>Debt-refinancing </li></ul><ul><li>Buy existing business </li></ul><ul><li>Franchise </li></ul><ul><li>Home-Based </li></ul>
    48. 52. SBA Loan Programs <ul><li>Regular 7(a) Loan Guaranty Program </li></ul><ul><li>Guaranty up to $1,500,000 </li></ul><ul><li>Specialized </li></ul><ul><li>M icroLoan <$50,000 </li></ul><ul><ul><li>Accion & South Tx. Bus. Fund </li></ul></ul><ul><li>SBA Express up to $350,000 </li></ul><ul><li>SBA Patriot Express up to $500K </li></ul><ul><li>504 Loan Program <$1.MM Debenture </li></ul><ul><li>CAP Lines; Standard Line <$2,000,000 </li></ul><ul><li>Small Asset Based <$200,000 </li></ul><ul><li>International Trade & Export Working Capital >$1.25MM </li></ul><ul><li>Disaster FEMA LOANS </li></ul>
    49. 53. SBA Patriot Express-Highlights <ul><li>Purpose to help vets with Small Business ventures </li></ul><ul><li>Service related </li></ul><ul><ul><li>Veteran </li></ul></ul><ul><ul><li>Service – disabled vets </li></ul></ul><ul><ul><li>Reservists & National Guard </li></ul></ul><ul><ul><li>Current spouses of above </li></ul></ul><ul><ul><li>Widowed spouse of veteran </li></ul></ul><ul><li>See counselor for more details </li></ul>
    50. 54. SBA Loan Guarantees: Step By Step <ul><li>Develop a business plan </li></ul><ul><li>Present to lender, who screens/recommends </li></ul><ul><li>Loan Committee decision may stipulate SBA </li></ul><ul><li>SBA Loan Officer review </li></ul><ul><li>SBA approve, withdraw or decline </li></ul><ul><li>Closing with lender </li></ul><ul><li>Payments to lender </li></ul>
    51. 55. Additional Funding Sources <ul><li>Leasing </li></ul><ul><li>Account Payable </li></ul><ul><li>A/R Management </li></ul><ul><ul><li>Collection policies </li></ul></ul><ul><ul><li>Borrowing base for RLOC </li></ul></ul><ul><li>Factoring </li></ul><ul><li>Business Angels </li></ul><ul><li>Venture Capitalists </li></ul>
    52. 56. Additional Sources - Leasing <ul><li>Pros </li></ul><ul><ul><li>Way to stretch funds </li></ul></ul><ul><ul><li>Use for rapidly changing equipment </li></ul></ul><ul><ul><li>Increase level of equipment </li></ul></ul><ul><li>Cons </li></ul><ul><ul><li>No equity in equipment </li></ul></ul><ul><ul><li>Capital lease shows as liability </li></ul></ul><ul><ul><li>Negative exit terms (upside down) </li></ul></ul><ul><ul><li>Can’t use depreciation </li></ul></ul>
    53. 57. Non-Traditional Sources (Factoring) <ul><li>Selling your A/Rs (invoices) </li></ul><ul><li>As compared to A/R financing </li></ul><ul><li>Normally younger or weaker companies </li></ul><ul><li>Factoring charges & discount fees </li></ul><ul><ul><li>Approx. 4-5% </li></ul></ul><ul><li>Factor looks at debtor credit worthiness </li></ul><ul><li>Tries to be transparent to you client </li></ul>
    54. 58. Factoring Pros <ul><li>Increased cash flow </li></ul><ul><li>Immediate funding </li></ul><ul><li>Approval not based on your credit rating </li></ul><ul><li>Doesn’t increase your debt to equity ratio </li></ul><ul><li>Factor does own collection </li></ul><ul><li>Non-recourse </li></ul>
    55. 59. Factoring Cons <ul><li>Short term cash source </li></ul><ul><li>Relatively more expensive </li></ul><ul><li>Factor does not own collection </li></ul><ul><li>Recourse A/R have some liability to you </li></ul>
    56. 60. Non-traditional ( Angels & VCs) <ul><li>Business Angels </li></ul><ul><ul><li>(apparently) invisible </li></ul></ul><ul><ul><li>Fleeting </li></ul></ul><ul><ul><li>Got to be good to find one </li></ul></ul><ul><li>Angels are small investor groups </li></ul><ul><ul><li>More informed in their industry </li></ul></ul><ul><ul><li>Doctors, lawyer, successful business people </li></ul></ul>
    57. 61. Business Angels <ul><li>Usually prefer technology or bio-techs </li></ul><ul><li>Early (intro) stage capital </li></ul><ul><li>Equity position </li></ul><ul><ul><li>Substantial but not controlling </li></ul></ul><ul><ul><li>Presence on board of directors </li></ul></ul><ul><ul><li>Size - $100k to 1,000k </li></ul></ul><ul><ul><li>Usually look for exit plan </li></ul></ul>
    58. 62. Venture Capitalists (VCs) <ul><li>Big brother version of Angels </li></ul><ul><li>Larger investment </li></ul><ul><ul><li>$500k to $10mm and beyond </li></ul></ul><ul><li>Middle and later stage investors </li></ul><ul><li>Try to get controlling interest </li></ul><ul><li>Daily management oversight </li></ul><ul><li>10 X returns in 5-9 years </li></ul><ul><li>Popular funding sources for Dot.coms </li></ul>
    59. 63. The Next Step <ul><li>Rough Draft of business plan/financial proposal </li></ul><ul><li>Last three years financial statements (if available) </li></ul><ul><li>Current copy of credit report? </li></ul><ul><li>Appointment with SBDC counselor </li></ul>
    60. 64. Getting Through the Process <ul><li>Resource: UTSA SBDC </li></ul><ul><ul><li>Confidential counseling </li></ul></ul><ul><ul><li>Technical assistance </li></ul></ul><ul><ul><li>Workshops </li></ul></ul><ul><ul><li>Location: 501 W. Durango </li></ul></ul><ul><ul><li>Call for appointment: 458-2460 </li></ul></ul>Feasibility Analysis Business Plan Development Loan Proposal Structuring Lender Evaluation SBA Eligibility/Credit
    61. 65. Questions & Answers Evaluation <ul><li>?????????????? </li></ul><ul><li>Evaluation </li></ul><ul><li>Speaker – </li></ul><ul><ul><li>Mike Reyes- </li></ul></ul><ul><ul><li>458-2469 </li></ul></ul>
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