Asset Management Business Financial Projection 3 Statement Model

Asset Management, Financial Model, Financial Services

5-year Financial Projections, Budgeting, Business Valuation, Dashboard, Dividends, Excel, Financial Model, Financial Modeling, Financial Planning, Financial Projections, Financial Statements, Financing, Forecast, Forecasting, Loans, Management, Private Equity, Startup Financial Models, Terminal Value, Three Statement Model | Three Financial Statements, Valuation, Venture Capital, WACC (Weighted Average Cost of Capital)

MODEL OVERVIEW

Highly versatile and user-friendly Excel model for the preparation of a 5-year rolling 3 statement (Income Statement, Balance Sheet, and Cash flow Statement) financial projection with a monthly timeline for a startup or existing asset management business managing customer investments and generating management fee revenue and other commissions/fees including brokerage commissions, custodian fees, entry and exit fees.

The model allows the user to model up to 10 customer groups each with its own investment balances, portfolio compositions, and addition/redemption rates. The model also allows the user to model 10 different asset classes each with its own return and fee assumptions.

The model follows good practice financial modeling principles and includes instructions, line-item explanations, checks, and input validations.

KEY OUTPUTS

The key outputs include:
– Projected full financial statements (Income Statement, Balance Sheet, and Cashflow Statement) presented on a monthly basis across 5 years and summarised on an annual basis.
– Dashboard with:
o Summarised projected Income Statement and Balance Sheet;
o Compounded Annual Growth rate (CAGR) for each summarised income statement and Balance Sheet line item;
o List of key ratios including average margins, return on assets and equity, and average debt to equity ratio
o Bar charts summarising income statement and Balance Sheet projections;
o Chart/tables presenting customer volumes, revenue breakdowns, and portfolio compositions

KEY INPUTS

Inputs are split into Income Statement and Balance Sheet Inputs. Most inputs include user-friendly line item explanations and input validations to help users understand what the input is for and populate correctly.

Setup Inputs:
– Name of business;
– Currency;
– First projection year and month;
– Naming for customer categories, asset classes, staff cost categories, marketing cost categories, admin expense categories, fixed asset categories, and borrowings;

Actuals Inputs:
– Opening balance sheet (for existing businesses);
– Income Statement actuals (for trend analysis);
– Opening customer numbers and financial asset balances (for existing businesses)

Projection Inputs:
– Fee and Commission revenue inputs including:
o Customer additions/reductions
o Average investment additions/redemptions per customer per month
o Average investment allocations per customer group
o Average number of trades per month
o Average return by asset class
o Annual management fee percentages
o Entry/exit fee percentages
o Custodian fee per annum per customer
o Brokerage commission per trade
– Direct cost inputs including:
o Direct costs per trade
o Direct costs per active customer
o Direct costs per financial asset balances
– Staff Costs including:
o Staff numbers;
o Average Annual cost per staff member;
o Average employer’s payroll taxes as % of salary;
o Average annual bonus;
o Average healthcare benefits per staff member;
– Other cost inputs including
o Marketing costs;
o Staff costs;
o Admin expenses.
– Sales tax and corporate tax inputs including rate and payment periods;
– Dividend inputs including amount or percentage of retained earnings and frequency;
– Fixed Assets including additional amounts and useful life;
– Borrowings including addition/redemption amounts and interest rate;
– Share Capital additions.

MODEL STRUCTURE

The model comprises of 9 tabs split into input (‘i_’), calculation (‘c_’), output (‘o_’) and system tabs. The tabs to be populated by the user are the input tabs (‘i_Setup’, ‘i_Actuals’, and ‘i_Assumptions’). The calculation tab uses the user-defined inputs to calculate and produce the projection outputs which are presented in ‘o_Fin Stats’, ‘o_Dashboard’, and ‘o_DCF’.

System tabs include:
– A ‘Front Sheet’ containing a disclaimer, instructions, and contents;
– A Checks dashboard containing a summary of checks by tab.

KEY FEATURES

Other key features of this model include the following:
– The model follows best practice financial modeling guidelines and includes instructions, line-item explanations, checks, and input validations;
– The model is not password protected and can be modified as required following download;
– The model contains a dynamic timeline that allows for a mix of actual and forecast periods across a 5-year period allowing projections to be rolled forward from month to month;
– Timeline is split on a monthly basis and summarised on an annual basis;
– Costs are split into: direct and non-direct for better driver-based forecasting;
– The model allows for the following number of underlying categories for each line item (these can be easily expanded if required):
o Customer categories – 10 categories;
o Asset Classes – 10 categories;
o Staff costs – 8 categories;
o Marketing costs – 5 categories;
o Admin expenses – 15 categories;
o Fixed Assets – 5 categories;
o Borrowings – 3 facilities;
– Apart from projecting revenue and costs the model includes the possibility model fixed assets, borrowings, dividends, corporate tax, and sales tax;
– The model included an integrated discounted cash flow valuation using the projected cash flow outputs;
– Business name, currency, starting projection period are fully customizable;
– Revenue, cost, fixed asset, and borrowing category descriptions are fully customizable;
– The model includes instructions, checks, and input validations to help ensure input fields are populated accurately;
– The model includes a checks dashboard that summarises all the checks included in the various tabs making it easier to identify any errors.

MODIFICATIONS

If you require any be-spoke modifications to the tool, we are more than happy to assist with this. Please contact us at: [email protected].

ABOUT PROJECTIFY

We are financial modelling professionals with experience working in big 4 business modelling teams and strong experience supporting businesses with their financial modelling and decision support needs. Our aim is to provide robust and easy-to-use tools that follow good practice financial modelling guidelines and assist individuals and businesses with their financial projection and analysis requirements.

Reviews

Excellent tool

By Luis on May 6, 2022 at 16:37

All tools from this site are amazing. I Recommended it a 100%

Thank you for your feedback.

1082 of 2161 people found this review helpful.

By Projectify on May 6, 2022 at 20:09

Thank you for your feedback and continued support Luis!

1169 of 2224 people found this review helpful.

Help other customers find the most helpful reviews

Did you find this review helpful? Yes No

You must log in to submit a review.