Free advice on cashflow planning / projections, analysis, funding and more from the new Compassheet blog.
Here we look at how an integrated financial forecast pulls together your Profit, Cashflow and Balance Sheet reports in a linked model, so that changes in inputs will automatically feed through all three. Hence, the 3-legged stool… A cashflow forecast is different to a profit forecast. Understanding the difference can be the difference between success …
Here we offer an overview of the concept of EBITDA, including its meaning, calculation methods and use cases in financial decision making. What is EBITDA and why it is used? “A business in your industry is normally valued at 3 times EBITDA” “The bank won’t give you a loan with repayments more than 1.5 …
Read moreEBITDA Meaning, Calculation and Use Cases – an Overview
There is sometimes confusion about what a cashflow forecast is trying to achieve. There are two types: a short term weekly cash flow forecast, looking around twelve weeks ahead and then a longer term monthly forecast generally projecting over one to three years. Weekly Forecast A weekly or daily cash flow gives short …