Financial Modeling

Minimizing financial risk: by testing assumptions in a realistic simulation, companies are able to minimize financial risk
Compressing time: as financial models calculate simulations, they are able to answer questions that might otherwise take months of actual time to realize
Consistency: because models are based on computer logic and not human bias, simulated results are always consistent
Hypothesizing: testing assumptions allows companies to widen the range of possible operational objectives
Clarity: the wealth of output data that results from financial modeling provides clarity from all possible angles

Design a Realistic Model

CFOs have the skills to develop accurate business projections through the use of financial modeling. By carefully accounting for products, pricing and sales predictions, we can help you forecast revenues and expenses, manage cash flow, and analyze monthly performance to help keep you on track.

All of our financial models are integrated, segmented by fixed and variable costs, and include the interest rates, AP/AR days, fringe rates, inventory turns and any industry-specific variables that may impact them. They can be customized to address and track specific factors and prepared for use as a tool for finance meetings.

LWI CFOs can design a realistic financial model to help you make more informed operational decisions

5 Primary Steps in Financial Modeling

Planning the project using clearly defined specifications and resources
Defining the model scope and type
Building the financial model
Testing the financial model
Documenting the financial model

Once your financial model is complete, we’ll help you update it using the following schedules on your chart of accounts:

Department
Inventory
Revenue
Cost of Sales
Labor
Fixed Assets
Equity Investment
Debt/Financing