Sales forecast Project your sales for a minimum of 12 months and up to three years. Set up sections to represent monthly or quarterly projections and include the costs. Include cost of sales to calculate the gross margin — expected sales minus the cost of sales.
Expense budget— This helps you calculate how much it will cost to make the sales shown in the sales forecast. This consists of fixed costs and variable costs. Variable costs may include taxes and interest payments.
Cash-flow statement— This shows the money flowing in and going out of your company. This statement is based on sales forecasts and balance sheet items. we may want to consider a factoring company for cash flow shortages if you offer credit terms on sales.
Income projections— This is the same as pro forma profit and loss statement and forecasts income over the next one – three years. Income projections are based on the sales forecast, expense projections and cash-flow statement
Assets and liabilities— Assets and liabilities that are not in the profit and loss statement are covered in this section.
Break-even analysis— This shows when the expenses required to run your company match your volume of sales. Viable companies will experience a time when revenues exceed expenses.
WhatsApp us