I. Executive Summary
This Section's Contents
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Business Overview
[Company Name] is a new mortgage loan officer located in downtown [Location]. Our mission is to help as many customers as possible get a mortgage so they can buy their dream home. Online mortgage applications are run by machines that don’t bother to know the human filling out the application. As such, many people get denied for loans that they could be approved for. At [Company Name], we see the human and aim to help as many people as we can get the mortgages they need.
[Company Name] is run by [Founder’s Name] who has worked for banks for twenty years. He has considerable experience helping people get approved for a loan and has thorough knowledge of the regulations and laws of the industry. He has a passion for helping people buy their dream homes and is committed to helping as many people as possible get approved for a mortgage.
Products Served
[Company Name]’s primary service is to help our clients get approved for a mortgage. This process includes interviewing the clients, gathering their credit history, looking for mortgage options, completing paperwork, and informing clients whether or not they were approved for the loan.
Customer Focus
[Company Name] will primarily serve the residents within a ten-mile radius of our location. The demographics of these customers are as follows:
- 84,730 residents
- Median income of $55,000
- 45% married
- 35% with children under 18
- 55% in management/professional occupations
- Median age of 37
Management Team
[Company Name]’s most valuable asset is the expertise and experience of its founder, [Founder’s Name]. [Founder’s Name] has been a certified loan officer for twenty years and has worked for several banks. His considerable knowledge and expertise of the industry will prove invaluable as we help our clients get the mortgage they need to buy their dream home.
Success Factors
[Company Name] is uniquely qualified to succeed due to the following reasons:
- [Company Name] will help meet the demand for loan officers. Many people in the area are eager to get a mortgage but are afraid of being rejected. They are eager to talk to a professional about their options.
- Our location is in a high-volume area with easy access from multiple residential and commercial district zones.
- The management team has a track record of success in the loan officer business.
- The local area is currently underserved and does not have many mortgage loan officers.
Financial Highlights
[Company Name] is currently seeking $160,000 to launch. Specifically, these funds will be used as follows:
- Store design/build: $50,000
- Office supplies and equipment: $10,000
- Working capital: $100,000 to pay for marketing, salaries, and lease costs until [Company Name] reaches break-even
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% |
