INSIDE: A checklist of the five essential elements in projections. A table of basic assumptions. A sample accountants’ report for compilation of a projection.
By Ed Mendlowitz
77 Ways to Wow!
A key element of a business plan is the financial projections. Basically, these should show how much will be made and how much is needed to accomplish the goals.
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Putting these together is a much harder task. The projection period is usually five years, although shorter periods are not so uncommon. To prepare the projections a mindset must be established that puts the preparer five years into the future and has them looking back on the five-year history of what has been done.