My Business is mobile dog grooming. A pro forma is a projected financial statement which will provide
Question:
My Business is mobile dog grooming.
A pro forma is a projected financial statement which will provide a strategic roadmap to making important decisions for your business. The purpose of the pro forma is to predict your potential revenue/gross sales and net profits along with the number of clients you will see. The following video you may find helpful before you begin your work...
https://youtu.be/39VcG6S8r8Y
Your pro forma is a guide to financially viable; to help set expectations on estimated cash flow/ volumes; and to determine the impact on your current operations.
The format of a pro forma financial statement will be similar to your profit and loss statement for your practice. The distinction is a pro forma is future forecasting, while an Income statement records historical data.
create a Pro Forma for Q1, Q2, Q3, Y1, Y3, Y5. The following sections should be included...
- Revenue Goals
- Cost of Goods
- Labor Expenses
- Contract Labor
- Startup Cost
- Inventory - If any
- Operational Expenses (Fixed and Variable)
- Marketing Expense
- EBITDA
- Projected Net
The format you use is purely up to you. I would suggest working with a cloud-based system, so you do not need to replicate work. You want your work to be dynamic so you can adjust to changing realities.
Financial Reporting Financial Statement Analysis and Valuation a strategic perspective
ISBN: 978-1337614689
9th edition
Authors: James M. Wahlen, Stephen P. Baginski, Mark Bradshaw