GOOGLESCHOLAR - Assignment 4: Final Business Plan

Startup funds and working capital

Lynnisa Berry

Strayer University

Dr. William P. Creamer

05/22/2016

Start up funds and working capital are the most important aspects to be considered when starting a business. Startup funds are the initial funds that are needed in starting the business. The startup funds include the payments for the all the material that will be needed in getting the business on the track. On the other hand, working capital is the amount of money needed in keeping the business going once it has been opened up. Working capital includes all the funds that have to be used regardless of whether the business is making money or not.

In light of the description made for the business, there are various methods that will best work for the startup business. Since the business for candy is just beginning, it will be important to first start with grants and personal savings. Grants will be from parents, friends, and relatives who will be willing to support me in the candy business. Since I already have the plan, I will have put some money in the account and saved it up for the business as start up funds. The savings will be added on top of the grants and will be enough for the startup candy business (Evans, 2014).

The major reason why grants and personal savings are the best choice as the methods for startup funds is because they are easy to acquire as compared to other methods. Since the business is a startup, the future is uncertain and it will therefore be prudent to choose a method that may not affect me in a big way in case it takes a long time to breakeven.

References

Evans, V., & Tracy, B. (2014). The standout business plan: Make it irresistible, and get the funds you need for your startup or growing business.