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What makes this Fiduciary Service Business Financial Model unique?

This financial model template has the following unique aspects:

1. Customers Segments and Mandate Types: Customers may be assigned to one or more fiduciary mandates, categorized into fiduciary mandate types. Chart and analysis are provided to understand the segments and fiduciary mandate types.
2. Payment Schedule: Payments can be made either monthly, yearly, or one-time.
3. Mandate Lifetime: Users may flexibly set when a fiduciary duty starts and end for each fiduciary mandate.

A solid and unique financial model template that develops financial projections clarifying the possible profit margins, the funding required, and the expected returns help decide whether to invest or not in engaging as a fiduciary service provider.

Here is a walkthrough of how revenues from mandates and costs are modeled in this model template.

Fiduciary Service Business Spreadsheet Template Structure

This Financial Model Excel template has instructions and formulas that are simple and easy to follow, which allows users to run simulations by varying the input assumptions. The elements of this financial model template are enumerated below:

Terms contain the cell color codes and the terms and abbreviations used.

General Assumptions that are necessary and applicable in Fiduciary Service financial planning are presented in the assumptions’ worksheets:
• Currency
• Cost Inflation Rate
• Income Tax Rate
• Net Working Capital
• Capital Expenditures, CAPEX Schedule, and Maintenance per year
• Depreciation and Amortization periods
• Uses and Sources of Funds
• Interest Rates
• Financial Assumptions such as Interest Rates, Bank Covenants and Dividend Policy
• Exit and Valuation assumptions such as the Investment Period, Discount Rate, and Exit Valuation Multiples

Customer Assumptions show a list of 50 – 100 customers, depending on model versions, that will be providing fiduciary mandates. These customers are also categorized into segments.

Mandate Assumptions are mandatory to be completed for the financial model to operate effectively:
• Fiduciary Mandate Types
• List of up to 50 – 100 Mandates depending on model versions
• Engagement Period – First years and months of contract; and Lifetime of fiduciary service duties
• Other Income
• Direct Costs
• Operating Expenses

Special features of the assumption worksheets include the following:
• User may encode up to 5-year assumptions
• 5 to 10 – Yearly summaries are also computed and shown immediately to give the user a brief idea of the output of encoded assumptions

Executive and Detailed Summary includes charts to understand your Fiduciary Service Business’ financial reports and business plan better and to answer the questions:

• How much do fiduciary providers make?
• What fees and how much should a fiduciary charge? and
• Which fiduciary mandate types generate more revenue?

This spreadsheet includes a 5 to 10-year summary, depending on the model version, of the following:

• Projected Fiduciary Service Business Financial Statements overview – Income Statement, Balance Sheet, and Cash Flows Statement.
• Levered and Unlevered Free Cash Flows calculating key financial feasibility metrics such as the Internal Rate of Return (IRR), Payback Period, Net Present Value (NPV), and expected investment multiple
• Forecasted Company Valuation, Uses and Sources of Funds
• Top 10 Customers and Fiduciary Mandate Types
• Overview of Customers and Fiduciary Mandates revenue and revenue breakdowns, quantity, and fees
• Profit and Cost Analysis
• Full Time Equivalent Staffs Summary; and
• Monthly Plan Summary at chosen year.

In the premium version, the Executive Summary contains results of the Break-Even Analysis at a chosen year and the Shareholders’ Summary.

CAPEX (Capital Expenditures) sheet contains computations of total CAPEX based on the CAPEX Schedules assumption:
• List and identification of Assets – tangible or intangible.
• Allocation of the amount of CAPEX spent by spreading their percentages through the current year up to the first.
• Annual maintenance percentage.

This sheet also shows the depreciation and amortization schedule of Fixed Assets and the yearly summary of Gross Fixed Assets, Depreciation, and Net Fixed Assets. Maintenance CAPEX will only begin the year after the Initial CAPEX drawdown is at 100%

Monthly worksheet contains a detailed calculation of the 5 to 10-year summary, depending on the model version, monthly assessment of fiduciary service financial planning, and feasibility. This monthly report presents the operational forecasts of:
• Fiduciary Mandates Lifetime
• Fiduciary Fees Assumptions per Mandates
• Revenue of Mandates and Other Income
• Breakdown of Revenue as per Start of Mandates
• Number of Fiduciary Mandates Summary
• Revenue per Customer
• Direct Costs
• Salaries and Wages
• Operating Expenses
• Financial Statements – Income Statement, Balance Sheet, Cash Flow Statement
• Unlevered and Levered Free Cash Flow Statement
• Funding Required

Yearly worksheet contains a comprehensive and detailed 5 to 10-year overview, depending on the model version, of the monthly forecast of the Fiduciary Service Business financial plan.
• Financial Statements – Income Statement, Balance Sheet, Cash Flow Statement
• Financial Ratios and Standardized Income Statement
• Fiduciary Mandates Profit Analysis
• Revenues per Mandate Types
• Average Fiduciary Fees per Fiduciary Mandates Types
• Breakdown of Revenues per Start year of Mandates
• Full Time Equivalent Staffs Summary
• Projected Enterprise Value
• Unlevered and Levered Free Cash Flow
• Financial Metrics, and
• Equity Funding and Divided Policy Schedule

Debt Schedule is specially prepared for funding purposes to be presented to banks and investors. It contains financial ratios the banks and investors want to see when evaluating a project’s financial feasibility. The debt schedule comes with two debt facilities options and adjustments for drawdowns and repayments.

Break-Even Analysis (only in Premium Version) shows the break-even calculations at a selected year at an EBIT level of the following:
• How many fiduciary mandates are needed with an average revenue per mandate to reach break-even or
• How much is the average revenue per mandate required at a given number of fiduciary mandates to reach break-even

This sheet also shows a break-even sensitivity analysis.

Shareholders’ Cash Flow (only in Premium Version) is prepared to show the Equity Multiple and Investors’ IRR calculations, which helps determine if their funding and equity stake percentages would result in a profit on their end. The user can select which Cash Flow – Levered Cash Flow or Cash In/Out will be used to compute investment and proceed.

Plan your own next Fiduciary Service Business using this Financial Model!

This Fiduciary Service Business Excel spreadsheet template contains valuable tools that allow users to understand better if engaging in a fiduciary service provider business is profitable by testing various scenarios and assessing how it affects your project’s viability. The financial model template comes pre-filled with a 5 or 10-year monthly forecast, which users may modify easily by updating the marked assumptions in blue or light blue.

With the output of the financial analysis and key metrics of this financial model, entrepreneurs will decide whether to invest or not in engaging as a fiduciary service provider.

The model, current version 2.2, is available in two fully editable Excel versions:
Premium Version
• Up to 100 Customers and Fiduciary Mandates
• 10-Year monthly financial projections
• Break-Even Analysis
• Shareholders Cash Flow Analysis

Basic Version
• Up to 50 Customers and Fiduciary Mandates
• 5-Year monthly financial projections
• DOES NOT INCLUDE Break-Even Analysis nor Shareholder’s Cash Flow Analysis

Both the Premium and Basic versions are available in PDF Demo Preview (which outlines the details of the model structure).

File types:
.xlsx (MS Excel)
.pdf (Adobe Acrobat Reader)