1. Financial Management Guide to building a budget

2. Are you going to have a: –Non-profit business –For profit business –Create a new public entity

3. NON-PROFIT BUSINESS Funding to get 501 (c) tax status Steps in meeting requirements to get 501 (c) started Grants Donations – (Need a mix of grants and donations)

4. FOR PROFIT Funding - how will you pay for start up and cost of operations –Loan – Interest rates, collateral, terms Small business loan Conventional loan Business formation –LLC –Corporation –Partnership –Sole Proprietor

5. PUBLIC RECREATION  Traditionally use tax money as their primary source of revenue  User fees and other funding sources supplement taxation  Grants  Outsourcing?

6. http://www.sos.ms.gov/business_services_bu siness_formation.aspx business formation http://www.sos.ms.gov/business_services_bu siness_formation.aspx http://www.irs.gov/ taxes http://www.irs.gov/ http://www.petfinder.com/admin- content/admin-501c3.html good resource for 501 (c) information http://www.petfinder.com/admin- content/admin-501c3.html http://www.irs.gov/publications/p557/index.h tml 501 (c) information http://www.irs.gov/publications/p557/index.h tml http://www.grants.gov/ grants available http://www.grants.gov/ http://www.sba.gov/ small business association http://www.sba.gov/

7.  Major functions of financial management can be done through the executive summary  Determine the scope and content of fiscal policies  Obtain the best possible mix of financing alternatives

8. Executive Summary summarizes: The Mission Statement – This explains what your business is all about. It should be between several sentences and a paragraph. Company Information – Include a short statement that covers the names of the founders and their roles, your number of employees, and your business location(s). Your Products/Services -- Briefly describe the products or services you provide. Financial Information – information about your plan for financing Summarize future plans – Explain where you would like to take your business. With the exception of the mission statement, all of the information in the executive summary should be covered in a concise fashion and kept to one page. The executive summary is the first part of your business plan many people will see, so each word should count.

9. http://www.bplans.com/bakery_busines s_plan/executive_summary_fc.php

10. What are your cost centers going to be? It will be difficult to create a budget for your business without organizing your expenses first. Start by making a list of everything you spend money on related to the business. Sort them by use, like utilities, payroll and advertising, then itemize specific spending allotments.

11. Some expenses have a fixed rate, like costs for mailing regular shipments to a long-term client, while others, like utilities, will vary from week to week or monthly. Categorize these expenses separately in your budget. It will be easy to budget amounts for fixed expenses first, whereas variable amounts will require more budgeting savvy.

12. Your budget will be partially based on your projected or estimated income. Be realistic and rational when you determine this number.

13. Input unchanging expenses such as rent, loan payments or pre-paid costs for "Fixed Expenses" and changing expenses such as utilities, supplies, etc. for "Variable Expenses." Determine budgeted expenses by averaging past expenses in each category.

14. Insert your forecasted income from earnings and any other expected revenue sources under the "Budgeted" subheading for "Income.“

15. Mortgage or rent on the office Payroll expenses (salaries, benefits, etc.) Utilities Insurance Office Supplies Marketing and advertising Inventory Maintenance costs Taxes and legal fees Interest on money owed Janitorial supplies Misc

16. http://www.prm.nau.edu/prm426/samp le_line_item_budget_format.htm http://www.prm.nau.edu/prm426/samp le_line_item_budget_format.htm http://bizfinance.about.com/od/busines sbudgeting/a/budget_wksheet.htm http://bizfinance.about.com/od/busines sbudgeting/a/budget_wksheet.htm