Financial Projection For Business Plan

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If your business is just starting out, you may be able to command higher prices for your products or services as the years go on, as you build up brand recognition and a good reputation.

The funding section allows you to enter information about your business loan.

To use this section, simply fill in the three white boxes representing the amount of the loan, the annual interest rate and the term of the loan in months - for example, 12 for 1 year, 24 for 2 years, 36 for 3 years, 48 for 4 years, or 60 for a 5 year loan.

This sheet calculates your profit and loss for each year over a 5 year period.

and these names will be carried through to the rest of the spreadsheet.

Your margins are unlikely to be the same on all of your products, so the cost of goods sold allows you to enter your expected gross margin for each product into the white boxes in Column B.The Financial Section, in many cases, is the most scrutinized section of your business plan.In short, it provides details on how potentially profitable the business will be, how much debt and equity capital is required for the business venture, and when debts are scheduled to be repaid to investors.In addition, this section includes your financial statement forecasts, and the assumptions made when creating your financial projections.The Financial Section of your business plan relies on Forecasted Financial Statements.This 5-Year Financial Plan spreadsheet will make it easy for you to calculate profit and loss, view your balance sheet and cash flow projections, as well as calculate any loan payments you may have.Whilst the wording on this spreadsheet is focussed around products, it can just as easily be used for businesses who largely provide services to their customers.Use the Model Inputs sheet to enter information about your business that will be used to model results seen on the other pages.The forecasted revenue section allows you to estimate your revenue for 4 different products.The spreadsheet will automatically calculate the annual cost of goods sold based on this information, along with your forecasted revenue.As the cost of annual maintenance, repair and overhaul is likely to increase each year, you will need to enter a percentage factor on your capital equipment in the white box in Column B.


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