I. Executive Summary
This Section's Contents
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Business Overview
[Company Name], located in [insert location here], is a full service advertising agency that helps businesses achieve brand visibility and attain their marketing and sales goals. The Company focuses on branding, creating advertising material, and ad placement. From logos and taglines to ad campaigns, the Company creates custom solutions and strategies that perfectly fit its clients’ businesses and industry. The Company’s goal is to become one of the region’s leading advertising agencies and compete with the leaders in the industry.
Services
[Company Name] will provide a variety of services to its clients. Its services include:
- Creative services
- Media planning and buying
- Social media management
- Other related advertising advisory and consulting services
Customer Focus
[Company Name] will primarily serve entrepreneurs and start-ups, corporate organizations, as well as small businesses within a 100-mile radius of the business location. The demographics of these customers are as follows:
- 510,000 corporations and small businesses
- Average income of $80,000
- 50% in Mgt./Professional occupations
Management Team
[Company Name] is led by [Founder’s name], who has been in the advertising industry for [x] years. [Founder] has extensive experience working for a leading advertising firm prior to starting his own ad agency. He will have the help and support of his business partner, [Insert Name], who will handle the admin tasks for the company.
Success Factors
[Company Name] is qualified to succeed due to the following reasons:
- There is increasingly high demand for advertising services in the community, and [Founder’s name]’s reputation has resulted in an explicit demand for the agency’s services.
- There has been a shift toward organic social advertising over the past few years. [Founder] specializes in seamlessly integrating ads into social media content.
- The management team has a track record of success in advertising.
- The advertising industry has proven successful in the United States.
Financial Highlights
[Company Name] is currently seeking $190,000 to launch an advertising agency. Specifically, these funds will be used as follows:
- Office build-out and Startup costs: $100,000
- Working capital: $90,000 to pay for marketing, equipment and salaries.
Top line projections over the next five years are as follows:
| Financial Summary | FY 1 | FY 2 | FY 3 | FY 4 | FY 5 |
|---|---|---|---|---|---|
| Revenue | $560,401 | $782,152 | $1,069,331 | $1,379,434 | $1,699,644 |
| Total Expenses | $328,233 | $391,429 | $552,149 | $696,577 | $776,687 |
| EBITDA | $232,168 | $390,722 | $517,182 | $682,858 | $922,956 |
| Depreciation | $7,000 | $7,000 | $7,000 | $7,000 | $7,000 |
| EBIT | $225,168 | $383,722 | $510,182 | $675,858 | $915,956 |
| Interest | $6,016 | $5,264 | $4,512 | $3,760 | $3,008 |
| Pre Tax Income | $219,152 | $378,458 | $505,670 | $672,098 | $912,948 |
| Income Tax Expense | $76,703 | $132,460 | $176,985 | $235,234 | $319,532 |
| Net Income | $142,449 | $245,998 | $328,686 | $436,864 | $593,416 |
| Net Profit Margin | 25% | 31% | 31% | 32% | 35% |
