Reevaluated Offer

Originally, Phunk asked for $60,000 for 20% or our company. This would have valued Phunk at $300,000 dollars which is almost $40,000 more than the projected 12 month cash income. After reevaluating our company, we are asking for 35,000 for 15%.  This values our company at $230,000. This is lower than our projected 12 month cash sales (which is 260,262), as we know it is best not to overestimate our company’s sales in order to ensure a safe financial plan. This $35,000 will cover Phunk for the all of the first 6 months except for $3,739 which will have to be paid on our own. As a result of the investment, Phunk will be able to save the total cash sales for the first 6 months, guaranteeing financial safety.  In the first 6 months of our company, we will pay out $38,739. The means we would have to take $3,739 out of all the money we would be saving up from the previous 6 months. In the first 6 months, we will potentially have $104,984 from sales, and eventually have the $155,378 more it is projected to make. This leftover money will provide Phunk with financial safety, as well as an opportunity to gain attention for the product and increase sales even more. Having the extra money will be beneficial to the sharks, and our company in which it gives us the opportunity to do what Phunk was made to do: to conveniently incorporate music into everyday life by producing phone cases with built in speakers