Proforma income statement
EntreQuick produces a three year (monthly or yearly) proforma income statement detailing your revenues, expenses, and profits.
Proforma balance sheet
EntreQuick produces a three year (monthly or yearly) proforma balance sheet showing your new business’ forecasted growth in assets, liabilities, and net worth.
Proforma cash flow statement
EntreQuick’s cash flow statement details your sources and uses of cash over three years.
Break-even analysis
A break-even analysis is usually optional, but it can be helpful in showing the level of production you need to cover all operating costs. The B-Even program produces a break-even table and graph.
General Assumptions
Your proforma financial statements will have little meaning without an explanation of their underlying assumptions. Remember, your general assumptions should be in-tune with your industry’s performance, and if they aren’t, explain why. For example, if your company’s projected gross profit is 37%, but your industry average is 25%, you’ll have your investors wondering why.
EntreQuick’s general assumptions about cash sales, credit sales, accounts payable, and inventory policy is a good place to start–but don’t overlook these either:
- product pricing
- sales growth
- number of salespeople
- sales promotion and timing
- market share
- payroll, including overtime
- office expenses and personnel
- fixed assets