Financial projections are essential for managing your company and for raising funding whether that's from bankers or investors. The 3 statements that any banker or investor will want to see are:
- Balance sheet
- Income statement
- Changes in cash flow
Not only will they want to see current statements, but they'll also want to see projections of what those statements look like in the future.
In this video we describe at a very high level what these 3 statements are, the difference between cash based accounting and accrual, and how accruals provide advantages but can complicate things.
The 3rd and final recommended projection is the simple cash budget, which allows you to carefully track how much money will be in your checking account, so you can be sure it never goes to zero!
5 авг 2024
