Budget and Financial Panning
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Jun 4, 2024
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Budget and Financial Planning
Takara Wilson
University of Phoenix FIN/375
Sean Colletto 4/23/2024
2
Budget and Financial Planning I am planning on starting transportation / trucking business and the products to start my buisness is twenty thousand dollars for fuel and rental of office space unless I start out using my home space, vendors freight to carry, and drivers for my two trucks.
The raw materials that I will need is to include my office supplies, the fuel, printer, desk, chair, computer, paper, pens, charting board, log planning books, software of the truckers and ways to track the trucks alone with miles traveled for fuel cost. Since we are not on the selling buisness to be selling anything, we will bid on our loads and gain our vendors through networking and our reputation. Starting off we will create a budget to bring in revenue by managing the mileage to deliver the freight and wether or not we will have empty miles coming out of that area. Empty miles are the miles we do not get paid for but the miles we will have to pay our driver for driving
those miles. They are considered lost miles. We will also have to take into consideration the fuel to and from the area into our budget. By doing so we will know if it is worth taking or leaving that vendor alone. We will be geared to provide our customers with the best possible service they can ever be offered. We will stand behind our service and hold ourselves to the highest standard to gain their trust and want us and only us to provide them with our services. We will start by getting our
customers locally and branch out from there. We also want to give our employees a grantee pay so that we do not have a high turn over rate and mess it up for us when it comes down to growing
and employment opportunities or reputation.
3
Financial budget would be our current situation. It is what we have on hand such as our assets and etc. The operating budget will help us to know what we can do to grow or help us to see what we can have to look forward to in the future. It is our projected income and expenses. I will need at least twenty thousand dollars to a month up front for fuel and payroll and bills. Debt financing is the route I will be taking because it will allow my family such as my son and husband to partner with me. They are very knowledgeable and know the ins and outs of the industry. In stage 2 I will expand my customer base by slowly branching out to two hundred miles away from my local limit. That will hopefully increase my revenue and generate more profit for the business so that we can add more trucks and more employees to grow and expand to a greater
range. By this time we should see how the business is going and how the revenue is coming in. In stage 3 we will be able to see if we can add the warehouse property to the business. We also should see if we can add additional employees and trucks to the business for potential growth. We will lost revenue by doing so initially but the gain should be increased once we have them rolling and vendors are renting the space for storage in our warehouse. We will use our assists on hand to start but if that falls through we will then look for local
grants and loans to cover what is needed. By using these we would be using bootstrapping and equity capital to gain the financial needs for the business. By stage 3 we should have our business credit build up so we should be able to use Debt funding as well through business credit
or line of credit. .
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References
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ds
https://www.merceradvisors.com/landing-page/grow-wealth/?
utm_source=google&utm_medium=cpc&utm_campaign=20782894046&utm_content=1
57374542604&utm_term=financial%20planning%20and
%20services&gad_source=1&gclid=Cj0KCQjwu8uyBhC6ARIsAKwBGpQg9EFLRIHn
UTxRSstn6iwmZwxp85P3YRMkBEj_TBGVZ4NYLIToJ-YaArl8EALw_wcB
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