Business Planning

Breakthrough Business Planning

A Strategic Differentiator

A budget is telling your money where to go instead of wondering where it went.

    – Dave Ramsey


We have noted, time and again, that a business owner’s skills at forecasting and planning represent key differentiating factors from other business owners that operate “by the seat of their pants,” enabling increased profitability and cash flow growth for those willing to dedicate the time.  Business financial planning for business owners only becomes more critical because as those businesses grow, when activities such as coordinating resources, communicating goals, responding to market changes, and monitoring progress increase in complexity and sophistication become ever more important.  Establishing business planning as a basis for monitoring these processes dramatically increases management’s ability to influence both short-term and long-term business performance.

Business Planning at Profitwyse

At Profitwyse, we have created hundreds of financial plans for businesses in many different industries.  We have a multi-step budgeting method, that includes the following:

  1. Gathering financials for 1, 2 or 3 years, depending on availability, for profit and loss, as well as the balance sheet results.  This creates the historical foundation and provides the basis of estimate for future forecasting estimates.
  2. Build out a revenue model in Excel.  Whether the business is product-based or service-based, we will work with you to develop a revenue model, with the necessary detail needed to understand variances and enable continuous improvement to your forecasting methods.
  3. Every business, at a minimum, is comprised of three functions-Operations, Sales and Administration.  We review your accounting configuration to see how it aligns with your business functions and make changes accordingly, whether that is adding G/L accounts and/or departments.
  4. Build out your business model, including your organization structure, chart of accounts using one of two corporate budgeting software packages, which done with our PlanGuru implementation service or Adaptive Insights implementation service .
  5. We load your historical account detail for the most recent one to two years into one of our financial planning tools.  This information will be leveraged when we generate your business financial plan because it is invaluable when forecasting future spend and working capital utilization.
  6. We will build a customer payroll expense model to compute your salary, hourly, overtime, benefits and other payroll expenses to match your current payroll (semi-monthly, bi-weekly, etc.) and benefits (health insurance, defined benefit plan matching, etc.) policies.
  7. Next, we will meet with you and your team to generate supporting detail plans that align with your strategic vision and goals, both for long-term growth and resource utilization.  We will identify where you may have a cash shortfall and develop strategies to close the gap.  Several plan iterations will be generated until the goals are achieved.
  8. Utilizing a Balanced Scorecard framework, we will establish key performance indicators (KPI) that map to each quadrant of the Balance Scorecard.
  9. Finally, with a completed plan, we will create the processes and tools to seamlessly integrate your business financial plan with the actual results coming from your accounting system, HRIS system, CRM system, etc.

Using Profitwyse’s business financial planning methodology, you can expect the following:

  1. Have a plan to increase cash flow and profitability.
  2. To understand how your company is doing as compared to benchmarks for your industry and what strategies you can employ to exceed those benchmarks.
  3. Employees will have greater engagement and alignment with your goals, increasing the probably you will achieve your objectives.
  4. Have greater peace of mind knowing that you now have a detailed road map leading to your goals for retirement and legacy.

Use the Contact Us link below to learn more about our Business Financial Planning tools and processes and how we can help your business achieve success.

Contact Us

Other related blog posts:

Gaining a Competitive Advantage – Secret Revealed! 

Why Financial Planning Matters