The initial capital contribution, which means the initial or restated value of the capital contributed by the member(s), is a requirement for all future Accelerator members to provide at the beginning of the Accelerator onboarding process. There are certain requirements that must be accurately reported in this number, to ensure that your individual contracts are drafted correctly.
Here are fiscal contributions that must be reflected in the number you provide for your Initial Capital Contribution:
- Every dollar ($) amount that has been contributed to the business to date. This number reflects but is not limited to:
- -All resources purchased to date
- -Resource examples: LLC formation costs, packaging, building a website, ingredients, commercial kitchen membership, equipment
- Every dollar ($) amount that will be used for future launch of the product
A correct initial capital contribution report is necessary to assist in understanding the finances of your food business, which comes into play for tax filing, pitching to buyers and investors. This calculation is necessary to keep your business organized and set you up for success as you grow and scale your successful food business. If you have any questions, the Union Kitchen Team is happy to help!
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