BUSINESS START-UP PROPOSAL by [Name] [Address] Current banking arrangements Bank name: [Bank] Branch name: [Branch] Sort code: [xx-xx-xx] Contact details Telephone: [Telephone] Mobile: [mobile] Fax: [Fax] Email: [email address] [Date] The business idea Business name The proposed name for the business is [name] Business idea The business idea is [describe idea] Key success factors [Describe the background to the business idea, and the reasons why you believe the business will be successful. For example, whether similar businesses already exist in your area, what your advantage over them will be, or if this is an original product / service which no other businesses in your local area already offer.] Location of business The business will be based at [my home / workshop premises / shop premises / office premises / other]. Target market [Describe the type of customer which your business is aimed at, and the geographic area in which your business will operate. Also describe why you believe customers will be attracted to your particular business over any other businesses or products that may already exist.] Skills and abilities [Describe the particular skills, qualifications and abilities you have which will help make the business a success, including, for example, previous jobs or businesses.] Business partners [Describe any business partners who will be involved in the business, including their skills, qualifications and experience, and the roles each of you will perform.] Staff and employees [Describe the numbers and types of key staff and employees you intend to recruit, including the principal roles and positions which will need to be filled.] Financial resources available Capital available from savings and investments I am/We have savings and investments which I am/we are able to put into the business, totalling £[xx]. I/We also intend to raise additional capital of £[x] from [describe where you will raise this from]. Income from sales I/We estimate that income from sales will be £[x] per month during the first 6 months, starting from month number [x]. In the second 6 months, I/We estimate that sales income will be £[x] per month. [Describe the basis for these estimates.] Grants and training support available I/We understand that financial support may be available from the following organisations: [list organisations]. I/We estimate that I/We will receive financial support in the first year totalling £[x]. Security available I am/We are able to offer the following assets as potential security against any loans which I/We may require: Estimated market value of home: £[x] less: outstanding mortgage: £[x] less: other loans secured on home: £[x] Resulting estimated equity in home: £[x] Security available from other sources: [list other sources of security, and estimated value.] Start-up loan I/We estimate that I/We will require to borrow a total of £[x] from Bank of Scotland as a start-up loan. [You can omit this section if preferred, and discuss loan requirements with your Bank of Scotland Manager.] Business expenditure and costs Personal remuneration I/We need to pay myself/ourselves a total of £[x] per month for the first 6 months of the business, and a total of £[x] per month for the second 6 months of the business. Start-up costs I/We expect to incur expenditure on the following items before opening the business: Equipment: £[x] Machinery: £[x] Vehicles: £[x] Computer System: £[x] Fittings for Premises: £[x] Raw Materials: £[x] Advertising and Promotion: £[x] Insurance Premiums: £[x] Professional Fees: £[x] Other [list other items]: £[x] Total: £[x] Running costs I/We expect to incur the following running costs during the first 6 months of the business: Rent on Premises: £[x] Rates on Premises: £[x] Gas/Electricity Usage: £[x] Telephone Charges: £[x] Wages (for others, not yourself): £[x] Advertising and Promotion: £[x] Fuel costs & Vehicle Road Tax: £[x] Despatch Costs: £[x] Professional Fees: £[x] Other Items (including stationery) [list other items]: £[x] Total: £[x] I/We expect to incur the following running costs during the second 6 months of the business: Rent on Premises: £[x] Rates on Premises: £[x] Gas/Electricity Usage: £[x] Telephone Charges: £[x] Wages (for others, not yourself): £[x] Advertising and Promotion: £[x] Fuel costs & Vehicle Road Tax: £[x] Despatch Costs: £[x] Professional Fees: £[x] Other Items (including stationery) [list other items]: £[x] Total: £[x] I understand that Bank of Scotland does not apply any bank transaction charges during the first year of my/our new business. Capital costs I/We will need to finance the following items of capital equipment during the first year of the business: Machinery: £[x] Equipment: £[x] Office Equipment (excluding Computer Systems): £[x] Office Furnishings: £[x] Computer Equipment: £[x] Cars [list quantity]: £[x] Commercial Vehicles [list quantity]: £[x] Others [list others]: £[x] Total: £[x] Finance payments I/We estimate that the total cost of finance payments in the first 6 months of the business will be £[x], and £[x] in the second 6 months of the business. Costs for materials I/We will need to purchase the following types and quantities of materials: [list types and quantities of materials needed for manufacturing or resale.] I/We estimate that these materials will cost approximately [x]% of the price at which we expect to be able to sell the finished products. Business protection costs I/We will ensure that appropriate insurance protection is arranged for the business, and estimate that the total cost of insurance premiums for the first 6 months of the business will be £[x], and in the second 6 months, £[x]. Projected cash flows I/We have prepared cash flow projections, which are attached to this document.