Creating a financial plan is the roadmap that lays out the path for your company’s future financial success. Most investors need to see a startup’s financial plan before they even consider funding it. More importantly, a financial plan allows you to quantify your business assumptions, define specific benchmarks, plan for worst- and best-case scenarios, and measure your company’s success (even before you start making a profit).
Dawgen Global Financial Model provides an advanced 5-year financial plan and is a flexible tool for Startup owners to forecast the company’s financial and operational activities. The model is suitable for all types of Trading Companies and includes assumptions and calculations of Revenue and Cost of Goods Sold, Payroll, Operating Expenses, Inventory Control, Fixed Assets and Depreciation, Financing through Debt & Equity and Exit Valuation in case of a potential sale of the business.
The structure of our reports follows Financial Modeling Best Practices principles and is fully customizable to clients business and industry
The Team at Dawgen Global utilised the following Model Inputs to prepare our Comprehensive Financial Model – 5 Year Financial Forecast :
General Setup
• Includes Business and Reporting general assumptions as well as assumptions for starting Operating Expenses and Financing (Debt & Equity)
Yr1 Payroll
• Assumptions and Calculations of Starting Year Direct and Indirect Payroll
• It includes Hiring Schedule of FTE’s per Position/Month, Salary per FTE, Payroll Taxes & Benefits and two different Bonus Schemes.
Yr1 Operating Expenses
• Assumptions and Calculations of Starting Year Operating Expenses
• Operating Expenses are split into 2 main categories, Sales & Marketing and General & Administrative, with several subcategories under each category.
Yr1 Revenue & COGS
• Assumptions and Calculations of Revenue and Cost of Goods Sold for 10 different Products (more can be added)
• It includes inputs for Quantities Sold, Prices and Cost per Product/Month and calculations of Revenue, COGS, Profit and Profit Margin.
Inventory Control
• Assumptions and Calculations of Inventory on an Annual Basis
• It includes inputs for Initial Inventory Purchases and additional purchase per Month and calculations of Inventory balances based on Quantities and Values.
Fixed Assets Registry
• Assumptions and Calculations of Fixed Assets Purchases and Depreciation on an Annual Basis
• Depreciation is calculated using one of the 3 methods provided (Straight Line, Double Declining Balance, Sum-of-Years Digits)
• Depreciation is calculated using one of the 3 methods provided (Straight Line, Double Declining Balance, Sum-of-Years Digits)
• Inputs and Depreciation amounts create the PP&E Schedule which can be found in the Annual Financial Statements tab under the Supporting Schedules section.
Forecast Assumptions
• This worksheet includes all the assumptions required to perform the 5-Year Forecast.
Starting Year Output Reports:
• Yr1 Direct Cash Flow
• Yr1 Budget and Actual Reports
• Yr1 Profit & Loss Statement Summary with a dynamic functionality to include Actual figures for the current and preceding months and budget figures for the rest.
• Yr1 Budget vs Actual Variance Analysis at a YTD and Monthly level
5-Year Forecast Output Reports:
• Annual Financial Statements (3 Statement model)
• Annual Direct Cash Flow
• Break-Even Analysis
• Profitability Analysis per Product and Year
• Financial Ratios including several Profitability, Efficiency, Liquidity and Leverage (Solvency) Ratios
• Dupont Analysis Model
• Performance Dashboard including ABC Analysis for Inventory Quantity per Year
• Business Valuation including WACC Calculation, DCF Model, Return Metrics (NPV, EV, IRR, MOIC, ROI, etc.) and Sensitivity Analysis
• Investor Returns (4-tier IRR hurdle waterfall model to distribute proceeds between investors)
• Professional Executive Summary (can be used for investment decisions)
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