Category Archives: Projected Balances

Projected Balance sheet

“Think of it as your business dashboard, providing a snapshot of the financial health of your company at a specific moment in time. The purpose is simple: balance sheets list assets, liabilities and owner equity, typically in order from shortest- to longest-term assets and liabilities divided on either side of the balance sheet.” Financial Post… Read More »

Keep Projected Balance Sheets Simple

A projected Balance Sheet is a perfect example of the critical difference between planning and accounting. The Balance Sheet statement produced by accounting is full of important detail about each item, while the Balance Sheet projection in forecasting is necessarily summarized and aggregated. This means that your balance sheet categories should be summary categories from your… Read More »

Starting Balances for Your Projections

To do your financial projections well, you need to start the balance sheet and then adjust it according to assumptions in the cash flow. How you start your balance sheet depends on what numbers you have. For an Ongoing Company If you’re an existing or ongoing company, your starting balances for next year’s plan are… Read More »