Josh Aharonoff, CPA的动态

Financial Modeling Best Practices ?? I’ve built over 100 financial models in my career… And the difference between a good model and a great one comes down to following proven practices. Let's break down what works in the real world ?? ?? DESIGN PRINCIPLES Start with design... because it makes or breaks your model! Your model needs to flow smoothly from start to finish. No confusion, no scattered tabs, no messy formulas. Start by mapping out: - Source Files → Inputs → Outputs → Dashboards Want to know what I do with inputs? I consolidate everything into just a few tabs: - "Drivers/Model/Assumption" tab - Headcount Tab - Revenue Tab Color coding isn't just pretty... it's crucial! I use: - Blue for assumption cells - Purple/green for cell references - Black for calculations - Red for error checks ?? FORECASTING FUNDAMENTALS Forecasting demands collaboration across your entire organization. Strong models incorporate input from your CEO's vision, management's execution plans, department head expectations, and accounting team validation. Working in isolation creates incomplete forecasts. Add your actuals... because stakeholders need the full picture ?? Show them where you've been and where you're going. Check your assumptions every month. Markets change fast. Business evolves faster. Your model needs to keep up! ?? PRESENTATION EXCELLENCE Even perfect models fail without strong presentation… Start with budget comparisons! Your stakeholders want to see: - Dollar variances - Percentage changes - Trend analysis Next comes output optimization... Create summaries that grab attention: - Condensed financial statements - KPI dashboards that pop - Visual breakdowns that make sense Format those dashboards right... because nobody wants to fix formatting 5 minutes before a board meeting! ? CRITICAL MISTAKES TO AVOID Design mistakes kill productivity... - Building models only you understand - Creating complex systems - Skipping documentation Forecasting mistakes cost money... - Creating projections alone - Forgetting historical data - Never updating assumptions Presentation mistakes lose attention... - Drowning in raw data - Starting with tiny details - Building slides in your model === These methods come straight from presenting models to boards, investors, and executives. What presentation tricks do you use in your models? Share your tips in the comments below ?? PS: On Tuesday I’m hosting the first of a 4 part workshop series on how to build the ultimate financial model, open only to community members. Join us and save your spot here: ??https://lnkd.in/eU4b8ARA