Business Plan

Financial Plan - Balance Sheet

On of my readers reminded me that I am missing one of the key components of the Financial Plan i.e. The Balance Sheet. This report is a snapshot in time of company’s finances. Although it is a snapshot, it is a very important statement, because it tell you about Assets, Liabilities and Equity of the [...]

Financial Plan - Cash Flow Statement

Cash is the King! To analyse the Cash inflows and Outflows, there is a need for Cash Flow Statement. Cash flow and Income Statement are similar as both report Company’s performance over a specified period of time. Cash Flow differs from Income Statement when it comes to non-cash accounting items such as depreciation and amortization. [...]

Financial Plan - Income Statement

Income statement is also known as Profit and Loss Statement. The income statement is important for Venture Capitalists as it is the basic measuring stick of profitability of the company. The Income Statement provides the investor with much insight to the company’s revenues and expenses. You can identify where the company spends much of its [...]

Financial Plan - Assumptions - 2

There is a slight change since yesterday. I will not fill the Assumption table in yesterday’s post. Instead, I will discuss what each variable means. This way table is more meaningful, rather than mere numbers.

Variables_Used_for_Assumption
Units_Used
Explanation_of_Variables

Average Monthly Sales

US $000s

Here you can enter net sales value.

Desired average finished inventory

% of Sales

Does not apply to Service / Distribution [...]

Financial Plan - Assumptions-1

I received a comment from a Planware representative about their Excel-based products dealing with Financial projections and Business Plans. I checked out their website, they have some wonderful products, which may be used as a model for building the plan and creating projections. You will see some of those projections being used in our plan [...]