Transaction Advisory

Financial Plan & Cash Flow Projection

This is a particularly essential part of any business planning or investment and project evaluation. With a Financial Plan you are able to determine how your business will afford to achieve its strategic goals or whether your investment can generate the desired return. Credibility of the Financial Plan is what counts most and BridgeCap helps clients develop a realistic forward-looking view of their business or investment.

You will need it if you have any hope of winning over investors or obtaining a bank loan. Potential investors are going to want to see numbers that say your business will grow, will want to know when their investment will pay off and how much of a return to expect. Investors will also want to see that their investment has an exit strategy to cash out on. Banks and other lenders will need assurance that there are sufficient cash flows generated that can repay their loan.

But most importantly, even if you don’t need financing, you should develop a financial plan for your own benefit so you understand how you project your business will do in order to simply be successful in steering your business.

Developing a financial plan is critical to the success of any business and BridgeCap Financial Plan helps clients benefit by:

  • Telling whether a business or project will be viable or whether you are risking your resources unnecessarily.
  • Validating a business plan and confirming that the objectives set are achievable from a financial point of view.
  • Making it easier for the CEO to set financial targets for the business and reward staff for meeting objectives within the budget.

As part of developing the Financial Plan, BridgeCap helps clients to:

  • Generate a sales forecast.
  • Create an expenses budget – to understand how much it’s going to cost you to actually make the sales you have forecast.
  • Develop a cash flow statement – to show physical amount moving in and out of the business.
  • Project income – to help you determine at an early stage whether your business is set for profits or losses and take mitigating measures early enough.
  • Deal with assets and liabilities – to project the net worth of your business at the end of the forecast period.
  • Perform a breakeven analysis – to help you determine at an early stage whether your business is set recoup the expenditure and take mitigating measures early enough.
  • Determine what type of financing would be most suitable for your business. Understanding the right type of financing that does not present too much risk for your business is critical. This may range from a short-term working capital loan to increase your inventory; an intermediate-term loan to purchase larger assets such as real estate or equipment; a transaction loan, where you receive all the money at once; or a line of credit, where you draw on funds as you need them.
  • Put together a proposed loan repayment schedule and terms – describing what collateral is available to secure the loan, such as inventory, accounts receivable, real estate, vehicles or equipment.

From budgeting to forecasting to modeling to valuation, BridgeCap has the capability to deliver a credible Financial Plan for the success of your investment, business or project.

BridgeCap Financial Services