The National Minority Supplier Development Council (NMSDC) requires one (1) full year (e.g., twelve (12) months – no exceptions) of financial statements be submitted regardless of the length of time you have been in business. If your business has been in operation for less than one year, prepare pro-forma statements (projected statements) to complete the remainder of the year. Financial statements include the following: Balance Sheet, Profit & Loss Statement, and Statement of Cash Position.
What financial statements should I submit if my company is a start-up business or operating less than 12 months?
If your company has been in business for less than a year, provide a copy of the following:
- Beginning Balance Sheet & Source and Use Statement
- Actual Profit and Loss Statement for the length of time you have been in business
- Actual Cash Flow Statement for the length of time you have been in business
- Pro-forma (projected) Profit and Loss Statement for the remaining months equaling twelve (12) months.
- Pro-forma (projected) Cash Flow statement for the remaining months equaling twelve (12) months.
- Ending Balance Sheet * If your Business runs on a Fiscal year, submit documents for a twelve (12) month period coinciding with the fiscal year period
- (*) If your Business runs on a Calendar year, submit financial statements for the previous Calendar year
- (*) If your Business has been operating for less than twelve (12) months (e.g., 2 months ), submit actual financial statements for the two-month operations and pro-forma for the remaining ten (10) months, totaling twelve (12) months.
What tax information should an applicant firm submit?
NMSDC policy requires submission of your Business Tax Return for the two preceding years. If you have been in business for more than a year and have not filed taxes, submit a copy of the previous year’s tax return and a copy of your Automatic Extension Agreement for Start-up Businesses. Please write a letter indicating you are a start-up business and have not filed taxes and submit two years of personal tax returns.
If I have not yet filed my Federal or IRS tax return from the prior year, may I submit the most recently filed return?
The tax return from the prior year is required for recertification, (i.e., if the calendar year is 2012, then the requirement is to send a complete copy of the 2011 tax return). If the applicant has not filed a tax return with the IRS, then a copy of the IRS Extension File will be accepted as a document for review.