One of the most important things that you need to do if you are planning to start a company is financial planning. This is to prepare how you can help the organization accomplish its financial objectives and purpose. Usually, after you have set out your company's vision and priorities, a financial plan is developed to ensure that you do not have to go through numerous risks and losses that could have been avoided by planning in advance, as stated in the financial plan.
You can either start from scratch or make one yourself in order to build a financial plan by using countless financial planning instruments. The spreadsheet template, or what we simply know as the financial plan template, is one of the most useful ones. In Excel, a spreadsheet template or a financial plan template is typically used to provide an organization or agency with a structured numerical report and is generated by funding experts with extensive expertise and industry know-how.
To start designing your financial plan for your company, the financial plan template can be used as a basis because it already has the necessary components that you need to fill up with inputs according to your requirements. Of course, the particular sectors of the spreadsheet template can also be chosen so that you don't have to work out the business know-how required to complete the financial plan.
You have to select a framework that would go through the following facets of financial modeling in order to create a solid financial plan:
Definition of the Purpose of the Model
Proper Model Formatting
Choosing the proper Model Structure
Providing Model Checks
Avoid certain financial modeling habits
Operating Model
Debt Schedule
Fixed Asset Schedule
Financial Statements
Financial Ratios
Direct Cash Flows
Discount Rate
Discounted Cash Flow Valuation
Key Financial Metrics
Scenario Analysis
Executive Summary
It can be very boring to build a financial plan, so using financial plan templates or templates for spreadsheets is a heaven that is sent to those in need. So, you can check out eFinancialModels and their broad range of industry-specific financial model templates created by financial modeling experts if you are looking for a place where you can download these templates that fit the necessary list above. By reading the full article here, you can also learn more about how to construct a solid financial plan: Building a Financial Model in Excel, where all aspects are explained in more detail.