Budgeting & Forecasting Model

Dynamic Budgeting & Forecasting Model suitable for any type of industry.

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General Overview

In the present competitive world where there is competition prevailing everywhere, budgeting plays an important role as it helps in controlling the cost of the organization, maximize the profits and provide awareness to the organization about its future working and requirements.
This model is a flexible tool assisting users in creating a budget from scratch and forecast the company’s results up to a 10-Year period.

Model Structure

Budget Inputs

• Payroll: Indirect & Direct Payroll calculation for up to 10 employees in each category (more can be added)
• Sales: Calculation of Revenue & COGS figures for up to 10 products/services (more can be added)
• Capital Expenditures: PP&E and Intangible Assets inputs with the calculation of depreciation & amortization
• Operating Expenses: Variable & Fixed Expenses inputs per cost center
• Debt & Equity: Calculation of Long & Short Term Debt (Interest-Principal) and Equity Capital schedules

Year 1 Budget Outputs

• Dynamic 3 Statement Model built from the inputs of “Actual” & “Budget” Tabs with the selection box being the main driver. The model assumes that the selected and all preceding months have actual figures (which should be updated in the Actual Tab) and the rest are budget figures
• The Budget Sheet is calculated automatically using figures from the “Budget Inputs” sheets.
• In the Actual Sheet, the user needs to manually input the figures for any month with actual data. As a general rule, at the end of each operating month, the user needs to update this sheet.
• Variance Analysis presenting a comparison for Actual vs Budget figures at a Year-to-Date and a Monthly level.

Forecast Outputs (up to 10 Years)

• Dynamic 3 Statement model allowing the user to forecast results for up to 10 Years by selecting the desired forecast length from the provided selection box.
• Dynamic Charts & Graphs presentation, populated based on user forecast length selection.
• Forecast is built using Scenario Analysis. Scenario Analysis uses different approaches of calculating forecasted figures, usually calculating 3 scenarios; a base, an upside, and a downside scenario.

The template is built using Financial Modeling Best practices and is fully customizable.

Detailed instructions on the use of the model are included in the Excel file.

Help & Support

Committed to high quality and customer satisfaction, all our templates follow best practice financial modeling principles and are thoughtfully and carefully designed, keeping the user’s needs and comfort in mind.

No matter if you have no experience or you are well versed in finance, accounting, and the use of Microsoft Excel, our professional financial models are the right tools to boost your business operations!

If you however experience any difficulty while using this template and you are not able to find the appropriate guidance in the provided instructions, please feel free to contact us for assistance.

If you need a template customized for your business requirements, please e-mail us and provide a brief explanation of your specific needs.

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