Instruction
Prepare a PowerPoint® presentation with speaker notes requesting initial funding of $500,000 to start and run a children's transportation company.. There are no points for accuracy so use your best judgement as to estimates.
Create the presentation in the following format, with at least one slide to cover each of the following areas. Use minimal information on the slides (ie bullet points) and speaker notes for the actual write-up. Use a dark font over a light background and a large enough font (24 or greater).
Title Page (1 slide)
Table of Contents (1 slide)
Executive Summary (1 slide)
Information about the Industry (1-2 slides)
Marketing Plan (1-2 slides)
Competitor Analysis (1-2 slides)
3 Year Income Statement (Profit & Loss) Projections (1 slide)
Include your assumptions for why and how you will achieve your sales growth and what significant expenses and investments you expect to incur to achieve your revenue goals. (1 slide)
3 Year Proposed Funding Schedule (Sources and uses of the funds received.) (1 slide)
Break-Even Analysis (1 slide)
EXPANSION: After Year 3, the investors are interested in your company expanding internationally to possibly outsource labor or to reduce manufacturing costs. What countries would you expand to first, and why? What factors would you need to consider in making this decision? (1-2 slides)
EXPANSION: What is the corporate tax rate in the countries you are considering expanding your business to, and how will that affect your decision to expand globally? (Use OECD Database to determine the corporate tax rate). (1-2 slides)
EXPANSION: The investors want to see a decision tree detailing the decisions you would make if you received $300K now and $200K at the end of three years instead of $500K up front. (1-2 slides)
EXPANSION: The investors would like your team to provide advantages and disadvantages of using debt financing versus selling company stock to raise capital for growth. (1-2 slides)
EXPANSION: Briefly explain the venture capital process. Does it make sense for your company to raise funds through venture capital? (1-2 slides)
Academic and Business References (1 slide)
Minimum required references include your textbook and the OECD Tax Database document under Student Materials.
The textbook reference is as follows:
Ross, S., Westerfield, R., Jaffe, J. & Jordan, B. (2016). Corporate finance (11th edition). New York, N.Y. McGraw-Hill Education.
The OECD reference is as follows:
University of Phoenix. (2016). OECD Tax Database. Retrieved from University of Phoenix, FIN571 website.