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Kristin Raina Interior Designs PRESENTATION TO LENDER Introduction Kristin Raina Interior Designs is seeking for a loan from a lender and was asked to prepare a proforma income statement. This document is actually going to be used by the lender to determine the amount of loan that the business is going to be awarded and under which duration. In this presentation we are going to determine why the lender should issue Kristin Raina Interior Designs the loan, of which amount and the duration it will take to repay the loan. Overview Kristin Raina Interior Designs is requesting for a loan of $200,000. The business is planning to build a sales store in another City which is planned to be complete in the next one year. It is also planning to introduce a new product that is expected to boom the market in a six months time through its existing marketing stores and other business partner stores. The business also planning to improve the aftersales services to customers including free delivery. Plan for use of cash A sum of $150, 000 is to be used in the construction of the new store. For this amount, material worth $90,000 will be used initially for the purchase of materials for construction. $25,00 will used for the hire of machinery for construction and the remaining $35,000 are the expenses for labor work. The new line of product to be introduced into the market will take a total of $50,000. This includes $25,000 for the marketing expenses like advertisements using billboards ...
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