This section outlines projections for the dollar amount and number of loans and shares and the number of members for the first two years of operation. The intent of this section is to provide benchmarks upon which the credit union and the NCUA can measure the success of the group and its business plan. The goals should be broken down by each loan and share product type and expressed in annual periods. The goals should agree with the financial projections. Include a discussion of the basis for each goal and identify the section of the membership survey supporting the goal.
Table 1 is a partial illustration of information you would include in this section and incorporate into the PFCU’s pro forma financial statements projections.
Table 1: Example of Goals by Year
| Growth Assumptions | 1st Year 20XX | 2nd Year 20XX | 3rd Year 20XX |
|---|---|---|---|
| Membership | 625 | 1,250 | 1,875 |
| Number of Vehicle Loans | 125 | 250 | 375 |
| $ of Vehicle Loans | $626,375 | $1,631,250 | $3,015,000 |
| Number of Checking Accounts | 531 | 1,062 | 1,593 |
| $ of Checking Accounts | $223,125 | $446,250 | $669,375 |
| Number of 24-Month Share Certificates | 93 | 187 | 281 |
| $ of 24-Month Share Certificates | $56,250 | $112,500 | $168,750 |
This sample shows how you might document your assumptions in the pro forma financial statement projection assumptions for members, vehicle loans, checking accounts, and 24-month share certificate accounts.