Financial Projections & Statements

The financial projections and statements of your business are the very best indication of your proposal or your company's performance and condition.  All aspects of a business can be enumerated.  When organized and logically grouped, the numbers of your business indicate profitability, cash flow, equity positions, and a whole lot more. 

TAKE YOUR NUMBERS SERIOUSLY ! !

Each business should have a host of financial statements that are routinely updated to reflect on-going operations.  The basic financial statements of a business include:

  1. Balance Sheet - Illustrates the current and fixed assets, the current and long-term liabilities, and the equity positions of the owners of the company.

  2. Income Statement - Illustrates the revenue, direct costs, overhead, and profit (loss) of the company for specified period of time.  Sometimes called Profit & Loss Statement.

  3. Cash Flow Projections - Illustrates the company's projected revenue, collections, expenses, and cash position incrementally for a specified period of time. Generally, the further into the future, the less accurate.

  4. Breakeven Analysis - Illustrates the sales volume needed to cover all direct costs and overhead and the point at which profitable operations begin.  May be for a fiscal period, or for a specific project or job.

  5. Profit Plan - Illustrates the projected revenue, direct costs, overhead, and profit of the company for specified period of time.  Sometimes called a budget.

Without these financial projections and statements, your business cannot:

bullet

maximize leverage of debt and equity,
bullet

understand the growth of the company,
bullet

analyze performance for corrective action,
bullet

understand the individual profit centers and their contribution to profit margin,
bullet

assess the effectiveness and necessity of each cost and expense,
bullet

plan for capital investments or income distributions, 
bullet

understand when a competitive advantage exists,
bullet

accurately price it's product/service so that every sale covers all associated costs and a portion of overhead

bullet

analyze and correct performance that varies from the profit plan of the company

bullet

convince a potential investor or lender that the business is profitable.

Keeping accurate records will insure that these statements are always available.  Unfortunately, most businesses often utilize their accountants or their bookkeeper to prepare these statements.  The normal assumption is that their working use of financial documents qualifies them to prepare these statements.  However, their use of those statements is often confused with their ability to prepare and analyze these statements from a business management perspective.  Accountants tabulate and categorize the numbers according to tax considerations.  Bookkeepers record transactions and generate reports.  Both deal with historical performance.  Whereas, a bona fide business management consultant will have the expertise to structure and analyze these statements so that information crucial to management decision making is continuously available. 

Every management consultant of CEO Services Group can prepare your company's financial statements and help you to understand your business in ways that you never knew. CEO Services Group will prepare these financial statements and provide them to you on computer disk.  Complete the Online Questionnaire below.

 

TAKE YOUR NUMBERS SERIOUSLY ! !

New Business Lists

CEO / Board of Directors Coaching

 

 

 

 

 

 

 

 

 

 

 

 

 

 

 

For CEO Services Group Consultation, Complete the Online Questionnaire Here
A Senior Executive will contact you.

For the CEO Services Group, LLC refund & cancellation & privacy policy click here.

Copyright © 2008-2009 CEO Services Group