Nice suggestions flowing in.
I don't have enough database to suggest you on speakers / amp etc but one thing I noticed is :
" Room Size is 13 by 13 feet."
IMHO a perfect square room like this is an 'Acoustic Disaster' !
Ideally a typical listening room should be in like a shoe box.
Now, given that it is not always possible to change room dimensions or change music room itself, you first need to give considerable thought on room acoustic treatment, in fact it should be your prime concern regardless of what hardware you buy. Consider your room (Acoustic treatment) itself is a component in your Audio setup and budget accordingly.
It is a common observation that 'A mediocre system in well treated room is far better sounding than a top notch system in bad acoustics' , without proper acoustics your investment will go waste.
Read the Bangalore Hifi Show reviews here, nice speakers / hardware could not demonstrate even 30% of their capabilities/potential just because of the Room in which they are playing!
But unfortunately people run after this brand and that brand, keep changing components (and losing money in each such upgrade), while barely realizing that their room itself needs attention first, small changes like speaker placement, simple acoustic fixing is far more effective (and economical too) than going for some exotic brands and cables / snake oil remedies.
Anyway, it is only after allocating enough funds for The Room, one can move on to (in this particular order.):
- Speakers
- Source
- Amp
- Cables
Speakers could be the ultimate deal breakers / makers in this case. This is the component that has maximum impact , this single component will decide the fate of the system at the end. So max out on speakers first. Select a speaker that you will keep for years to come, because it is not easy to upgrade speakers compared to other components. Rest components in the chain can be added / upgraded as and when budget permits. A well made amp with enough wattage will do, no need to go in for some exorbitantly (in sane) priced one. The Law of diminishing returns strikes hard on amp (of course cables are the finest example of this law! )
Typically allocate your funds (after allocating funds for room treatment) as:
40% for speakers
30% Source component
20-25% Amplifier
5-10% cables
Once the budget is known/fixed, next step could be your listening interests. (will write on this aspect if time permits...
)
Hope this helps