₦airaland Forum

I am starting a business. Got some machines and land already.
I needed a sponsor and a friend offers to help.
He asked me to provide a document listing what I have already and what I need.
What type of document should I prepare?
One thing I'm sure of is the fact that he's not talking about business plan.

Marv650:
I am starting a business. Got some machines and land already.
I needed a sponsor and a friend offers to help.
He asked me to provide a document listing what I have already and what I need.
What type of document should I prepare?
One thing I'm sure of is the fact that he's not talking about business plan.

What he wants you to prepare is basically a business case report which would incorporate a kind of balance sheet known as a "Statement of Affairs"

It will show a listing of all the assets you have acquired for use in the business including their historical cost or price at which they were bought.

After that you will prepare another list showing other assets and expenses that will be required in order for the business to commence operations.

The purpose of this document is to help determine the value of equity or seed capital which you have contributed to the business so as to serve as a guide for determining profit sharing ratio.

It will also help your friend to know the additional cost-to-completion of the project so he can make an informed decision based on his risk appetite on whether to inject capital or walk away.

Cheers and good luck!

SavageResponse:
What he wants you to prepare is basically a business case report which would incorporate a kind of balance sheet known as a "Statement of Affairs"

It will show a listing of all the assets you have acquired for use in the business including their historical cost or price at which they were bought.

After that you will prepare another list showing other assets and expenses that will be required in order for the business to commence operations.

The purpose of this document is to help determine the value of equity or seed capital which you have contributed to the business so as to serve as a guide for determining profit sharing ratio.

It will also help your friend to know the additional cost-to-completion of the project so he can make an informed decision based on his risk appetite on whether to inject capital or walk away.

Cheers and good luck!

God bless you sire!