Forecast & Projections
Forecasts and Projections are valuable tools when you are plotting the course and future of your company. Many business owners attempt to build a business on sheer instinct alone, and while that may provide short-term success it also holds the potential for long-term failure.
The information and data provided by financial forecasts will help you optimize future planning and development, select the best of several options (such as leasing or purchasing an asset), or review different scenarios when considering a proposed service or offering. Although there is no guarantee of success, a forecast does help identify issues that require immediate attention, thereby increasing the prospects of long-term success for your company.
Whether you’re a start-up or existing business, financial projections should be prepared whenever you’re contemplating a significant investment, such as a major equipment purchase, the acquisition of another company, the development of a new product line, or the investment of a sizable capital expenditure.
Projections enable you to make smart business decisions before expending company resources or incurring debt. A financial projection is prepared using at least one hypothetical assumption so management may assess the risk.
For example, if you are looking at a costly new acquisition and the financial projection indicates the debt payment will be tight, you may wish to renegotiate the purchase price or payment terms, or even reconsider the purchase altogether.
Curtis Blakely & Co., PC can prepare forecasts or projections specifically tailored to your company’s needs. These reports can be as simple as annualizing existing data or as complex as projecting multiple future project outlays. These services are also helpful when evaluating employee staffing and raises, identifying increased costs, and choosing between strategic options.