Central Texas Business Consulting

A fundamental business truth is; “If you don’t measure it, you can’t improve it.”

No matter what business you are in, every business exists to make money for its shareholders.  It is extremely difficult to maximize profits if a business does not have a formal Financial Plan.  Financial planning is the foundation to maximize profitability.  The Financial Plan includes the Annual Budget and Proforma Financial Metrics.  Once created, the Financial Plan is updated monthly to compare the Budget with Actual performance.

CTBC can either assist your company to create a Financial Plan from scratch, or help modify your existing Financial Plan. 

CTBC believes that any good Financial Plan consists of a minimum of 5 key areas.

Balance Sheet

• Assets
• Liabilities

 Current and Proforma Income Statements

• Income / Revenue
• Cost / Expense
• Profitability
• Taxes

 Cash Flow Analysis

• Timing of Revenues
• Timing of Expenses
• Cash Balances

 Sources of Funding

• Debt
• Equity

 Financial Modeling

• Key Revenue and Expense Variable Identification
• Revenue and Expense Scenario Modeling
• Revenue and Expense Sensitivity Analysis
• Financial Metrics
• Return On Invested Capital
• Cash Conversion Cycle
• Cash Flow Timing
• Days Receivables
• Days Payables
• Days Sales Inventory