Financial Projections

Financial projections (“pro-forma financials” or “pro-formas”) are a representation of what you think your company’s financial statements will look like in the future.  Creating these documents is often an arduous task for the entrepreneur because it requires him/her to make many assumptions and to build a model based on those assumptions and industry research.  Further, [...]

Posted Under: Investor information package
This post was written by startupfunding101 on December 30, 2008 Comments (0)

Income statement

This is the bedrock of your pro-formas.  To begin, you will estimate your revenue (also called sales).  This is simply the amount of cash you are bringing into the company in exchange for the goods and services the company provides.  Do you sell t-shirts for $10 each?  Then the revenue or sales for each is [...]

Posted Under: Investor information package
This post was written by startupfunding101 on December 30, 2008 Comments (0)