B2B99.Com (11) p;M Machines $XXX Service Contract $XXX Research & Development SAMPLE: We have already spent a considerable amount of time in researching and developing our complex widgets. We have a very simple laboratory equipped with the basic research equipment we need. We have thus far been able to discover lighter materials and several cost cutting manufacturing methods. The largest achievement to date is the discovery of a water based lubricant that does not disintegrate in rainstorms. We have called this lubricantH2Ocus-Pocus.Presently our research is being supervised by our Technical Director, John Q. Public. He will continue in this capacity. Having been the researcher involved with all our activities to this point, he is well qualified to continue our research efforts.Our next research project will center around using this new lubricant in our manufacturing processes and testing of a new material that has come to our attention.To this point, our research has paid for itself as we have been keying on bringing this new product to market. However, now that we are becoming more experimental in our research efforts such a continued success ratio can not be maintained.We have been investigating several potential government (both state and federal) funding sources. Our present program of joint research with the local university has b=proven very beneficial.Historical Financial DataSeeAttachmentsThis discussion should include all facts pertaining to your financial statements.SAMPLE:Income StatementDiscuss both positive and negative aspects of your income statements. This is no time for trying to hide the facts.Balance SheetDiscuss both positive and negative aspects of your balance sheets. This is no time for trying to hide the facts.Asset WorksheetDiscuss both positive and negative aspects of your assets. This is no time for trying to hide the facts.Ratio AnalysisFinancial ratios are included for your convenience.Financial StandardsWe have also included financial standards as compiled by Dun & Bradstreet and Robert Morris Associates.Proforma Financial DataSeeAttachmentsProforma Cash Flow AnalysisSAMPLE:Assumptions:Cash Receipts: Percentages as indicated.Rent: Building rental at $12/square foot.Utilities: Water, gas, sewer, trash, electricTelephone: Local, long distance and cellularSalaries: Executives.Payroll: Hourly, non executiveWithholding: Figured at XX %.Inventory:Freight-In:Office Supplies:Postage:Advertising: Trade, magazine, direct mail, etc.Professionals:Commissions: Figured at 10%.Insurance:Travel & Entertainment:Research: Ex