Prepare a financial plan for the company you select for your business plan, this should be a company that you start versus an existing publicly traded company. This financial plan will be included in your final business plan in your capstone course. Be creative and think about a franchise or business that you have always wanted to create.

Describe the business that you would like to start, including the type of business (what industry, product offering, etc).

Create the business case, which is your justification of why the business is needed in the market.

• Determine why funding is needed for the company.
• Determine the sources of funding. Considerself-funding, borrowing, equity, venture capital, etc.
• Evaluate the requirements of each funding source you determined appropriate.
• Analyze the associated risks of each funding source.
• Decide which sources are the best fit for your company based on the requirements of each. Justify your decision.
• Estimate the cost of capital for both short-term and long-term funding sources. Research current estimated APRs for your selected sources of funding. Consider creating a table or chart to display this information.

Create a profit-and-loss statement for a 3-year period. Project revenue, stating realistic assumptions, such as growth per year, in your projections. You will have to develop these numbers and provide details.

Estimate direct costs, including capital, marketing, labor, and supply costs, which should be included in your P&L statements for all 3 years.