Financial Planning & Rolling Forecasts

Strategic planning is the formulation of plans to get from where the business is now to where it wants to be. The SME Owner, CEO, or MD is usually at the center of the strategic planning process, and a robust finance function or CFO is a key participant in the planning process. The absence of a CFO is a huge disadvantage faced by many SMEs. Lack of accurate historical data, and necessary planning & budgeting skills result in misallocation of resources and exposes the business to significant operational, financial, and strategic risks. Our CFO services fill this gap for you so you can grow your business confidently.

Executive Workshop on Budgeting

  • Study of the competitive structure of the industry.

Development of a Budget Plan

  • Define the Strategic Goal
  • Study of the competitive structure of the industry.
  • The entrance of new competitors and regulatory changes.
  • How the company earns a profit.
  • Other factors that lead the CEO to target a particular strategic direction.
  • This step also includes consideration of the expected strategies that will be followed by competitors.
  • Analyzing the current capabilities of the company.
  • Inward-focused examination of the strengths and weaknesses of the business, from a competitive perspective.
  • Discard issues that have no bearing on the competitive posture of the business.
  • Documenting to reach the goal and getting buy in
  • Document a plan that states:
  • Exactly how the business is to achieve its goals. How the business is going to beat last years performance and competitions.
  • Maintain a tight focus on improvements in just a few areas.
  • Focus on improvements only in those areas where the competitive advantage must be strengthened or supported.

Avoid attempting to improve all aspects of a business is usually much too difficult, and merely diverts attention and funding from the areas that really require improvement.

Budget Preparation

  • Set a timeline and schedule for budget submission.
  • Form a team to participate in the budget.
  • Prepare a communication plan.
  • Gather historical data.
  • Project next years revenues, direct costs, SG&A, margins and cash flows.
  • Prepare a capital and financing budget.
  • Add discussion and analysis section that outlines the assumptions in the budget.
  • Compile and present the budget.