Purpose: To cover a company’s monthly employees’ gross salaries Business Contracts Purpose: To cover a company’s monthly employees’ gross salaries

Process for Development of Business Contracts Determine each employee’s monthly gross salary Total all employees’ salaries Determine what the Business Contract with the Virtual Enterprise Center will be for: Product (s) Service (s) Product (s) and Service (s)

Process, cont. Write scenario detailing what your company will offer the Virtual Enterprise Center (VEC) that may include: Narrative Descriptions of product (s) and/or services (s) Pictures of product (s) Determine cost-of-goods-sold or commissions on products/services sold to VEC (should not be more than 50%) Add these costs to total salaries Include contract sales & cost-of-goods-sold and/or commissions in Income Statement

Business Contract Examples

Business Contract + Income Statement

Business Contract Information Log-on to the VE website: www.virtualenterprise.org Go to Curriculum, Tasks, Quarter 1, and then to Business or Phantom Contracts Go to Curriculum, Workflows, and “Phantom Contract” for contract example Go to the Backoffice of VirtuBank and log-on to your company’s account: www.virtualenterprise.org Click on Business Contract Fill out the information and submit

Business Contract Presentation Present your Business Contract to your Business Partner (s) for approval Email or FAX a copy of scenario to the VEC NOTE: Total amount of Contract should be no greater than 50% more of total monthly salaries $100,000 for monthly salaries + $50,000 (50% of salaries) for COGS = $150,000 for Business Contract