Financial Modeling
(Interactive Modeling for Financial Projections)
Operational and financial projections are essential when a business presents its potential to investors and other important parties. In addition, many entrepreneurs want to know how the success and performance of their business is affected by variations in underlying assumptions (e.g., market share), but few entrepreneurs posses the sophisticated quantitative models to perform such scenario analyses.
EquityNet provides entrepreneurs a custom interactive quantitative model that “simulates” their business and allows them to vary a wide range of input assumptions and immediately generate corresponding output (e.g., projections), including:
- Market size, growth, and share
- Volume of unit sales, customers, and/or transactions
- Revenues and operating costs
- Gross, operating, and net profit margins
- Annual free cash flow and cash liquidity
- Capitalization requirements
- Business valuation
Portion of Quantitative Model Input
Portion of Quantitative Model Output
EquityNet works with entrepreneurs to understand their business model and leverages its unique quantitative approaches and proprietary market data to develop a dynamic quantitative model of the business that includes primary input (e.g., average selling price) and output factors (e.g., cash flow) of the operational model of the business.