Financial Model

When it comes to gaining the financial buy-in you need to either secure investors or position your company for sale, providing a clear financial model can provide a powerful case for your company’s financial footing.

What is a Financial Model?

A financial model is a tool that is used to paint a picture or tell a story of a company’s financial performance. It is typically based on the historical performance of a company or a specific security, and usually projects the balance sheet, income statement, and cash flow statements monthly for a specified time period.

The financial model is usually created by performing calculations and makes recommendations based on that information. Basically, it lays out the future operating, investing, and financing activities. This information ultimately determines a company’s future profitability, financial position, and risk.

Why Should You Consider a Financial Model?

A financial model is typically used to forecast the financial statements of a company being positioned for sale, or in some cases, a company looking for investors. The model is used by investors, corporate acquirers, and banks to assess the merit of a potential transaction and to determine if a deal is really worth pursuing.

Some areas a financial model can be used for include:

A solid financial model will demonstrate if a company is in need of additional funds, as well as how a business will react to different financial situations or changes in market conditions.

Our Financial Model Services

At PlanIt Business, our team has an extensive background in business and finances. We understand what investors or potential buyers are looking for in a financial model, and can help present your business’s financial information in a clear, thorough, and accurate manner.

The team at PlanIt Business can simply help you with your financial model, or even provide you with a whole range of services you might need for your specific situation.

Ready to learn more about how our team can help yours? Contact us today by calling 800-894-0828 or by filling out our online form.