We’ve built a program that helps founders understand the logic behind financial modeling. This is not a one-off template, but rather a collaborative process for you to learn the trade from our business analysts on how to model and project your financial data.
Our goal is to empower founders like you to make better decisions about their budgets and ultimately help them reach their company goals.
You have one job as company CEO: not running out of money. Having predictable revenue and using that information for company decisions is critical: it allows you to calculate your runway, and to estimate how fast you can scale and deploy your efforts. Our SaaS spreadsheet is the one Slidebean has used for 8+ years to manage our (profitable) operation. It was developed by Caya, our CEO, in cooperation with our investors at Carao Ventures.
A Financial Model is a summary of a company's revenue and expenses. Using historical data, a Model allows the business to track KPIs such as gross and net margin, as well as forecasting future performance, based on critical metrics such as customer cost of acquisition.
For startup founders and small business owners, the Financial Model is a fundamental tool for managing the business and making educated business decisions about the company's future.
There's no need to reinvent the wheel, though. There's a standardized set of variables included on a financial model template that most executives are familiarized with.
We built a sample, blank version of our financial model too. It includes all the sheets available on our fully-built spreadsheets, but it doesn't have any projections or business models built in.
Main parts of a financial model
Selling, General and Administrative Expenses summarizes the majority of the company's costs, from payroll, to marketing, sales, rent and services.
Assets owned by the company, such as cars, computers and servers are stored here and their depreciation is automatically calculated for tax purposes.
Costs of Good Sold may be used differently across industries. It usually accounts for the cost of materials and inventory. For software companies, servers are usually accounted for here.
Estimating revenue and projecting it accurately is key. It's also relevant to connect these predictions to their associated COGS and SG&A requirements.