Figures Online Action

Chapter 36: Financing the Business

Figure 36.1

Reserve Funds
Look at column 3 on the SBA’s start-up cost worksheet. You will see a number in each row, which shows the number of months' worth of reserve funds the company should have on hand.

Activity
Answer the following questions: Why are the figures different for each kind of expense? What can you deduce from the different figures in this column?

Figure 36.2

Financing a Small Business
The Small Business Administration has a special section of its Web site devoted to small business financing.

Activity
Locate the page mentioned above. Once there, find information on loans specially tailored for companies that will be engaging in foreign trade. List your findings and prepare a short presentation about them.

Figure 36.3

Personal Income Statement
The projected quarterly income statement shown in Figure 36.3 gives a thumbnail sketch of a company’s financial health. But an individual can use such a chart to keep track of their personal financial condition.

Activity
Draw up a quarterly income statement for yourself; assume that you are a salesperson with an income of $45,000. Under Operating Expenses, list the various expenses that might affect you, both personally and professionally, and enter estimates for how much you might spend in each given month.