Financial Projection Model

Cash Flow - The life blood of your business

Poor financial management is one of the main reasons why businesses fail. Therefore this is not something that you should delegate to your banker, consultant or accountant. You need to have a grasp of the basic principles of your entities finanacial projections. Cash is the lifeblood of any business. Cash inflows and outflows occur at different times. Managing the timing of these inflows and outflows will determine whether the entity will survive or not.

This model will assist you in ensuring that your enterprise can meet it's cashflow requirements. In 9 easy steps you will have created a 3 year projected: 

• Income Statement
• Balance Sheet
• Cashflow

This is a workable tool for managing the finances of your small business and gives you an understanding of how the financial decisions you take affect the activties of your business.

You cannot break this model so play with it. Enter one or two figures then take a look at what appears in the reports section. Go back and edit or adjust what you have entered. Repeat this process until you understand the impact of the assumptions and figures you have entered. On completion of the model you will have an understanding of the difference between cashflow and profit.

If you need to project beyond 3 years, then you merely repeat the process and use the previous projection period's closing financial figures as the opening figures for the next projected period.

After completion of the 9 steps you will always be able to access your projections by entering your user name and password. Once you understand the functioning of this model you should be able to complete this model in approximately 15 minutes

NB – THIS MODEL IS NOT DOWNLOADABLE. YOU MUST COMPLETE THE INPUT SHEETS ONLINE. THE RESULT OF THE INPUTS CAN BE PRINTED.

NB: You must be logged in to use this tool. Click here to register.