What is Financial Modeling?

Definition of Financial Modeling  Wikipedia defines financial modeling as the task of building an abstract representation (a model) of a financial decision making situation.  I prefer a more inclusive definition:  financial modeling is the task of building a financial model, or the process of using a financial model for financial decision making and analysis.  I [...]

Financial Modeling gets cheaper and cheaper

Cheap is Good  How is it that Financial Modeling is finally within the reach of Small Business?  It is because SurvivalWare makes it cheaper – an order of magnitude cheaper – for a company to install and use a financial model that fits.  SurvivalWare provides the infrastructure that makes the model inexpensive to feed with [...]

Computer Modeling in the News

It really is amazing how important computer modeling has become.  This is where the computer really plays to its strengths. The latest Scientific American (July, 2009) has a cover story article entitled “Grassoline at the Pump” and goes on to paint a very optimistic picture of using non-food plant material to provide 50% of our [...]

Doing Projections in SurvivalWare – Part 5: Other Cash Flow

This is part 5 of a 5 part series on how to create a cash flow projection using SurvivalWare and the generic financial model that comes with it.  Getting familiar with the Forecast Tool Sales and Expenses Debt Service and Investment Working Capital Other Cash Flow  Other Cash Flow   What happens in a financial [...]

Doing Projections in SurvivalWare – Part 4: Working Capital

Fluctuations in Working Capital can be the source of a major disconnect between profits and cash flow. This article covers how to analyze what has happened in the past, and how to use that knowledge to forecast Working Capital in the future.

Doing Projections in SurvivalWare – Part 3: Debt Service and Investment

Two key components of  your cash flow are 1) what happens to your debt (new borrowings, repayments, interest) and 2) spending money on stuff that doesn’t show up on the income statement right away  (Investment / Capital Expenditures).   This is part 3 of a 5 part series on how to create a cash flow [...]

Doing Projections in SurvivalWare – Part 2: Sales and Expenses

The first step in putting together a complete financial projection is to forecast Sales and Expenses.   This is part 2 of a 5 part series on how to create a cash flow projection using SurvivalWare and the generic financial model that comes with it.   Getting familiar with the Forecast Tool Sales and Expenses [...]

Doing Projections in SurvivalWare – Part 1: the Forecast Tool

This is a 5 part series of articles covering the fundamentals of doing financial projections using SurvivalWare and the generic financial model that comes with it.   Getting familiar with the Forecast Tool Sales and Expenses Debt Service and Investment Working Capital Other Cash Flow Part 1 – getting familiar with the Forecast Tool   [...]