Chris Reilly (Financial Modeling Education) on LinkedIn: Want to know the secret that always made me the best Financial Modeler at… | 34 comments (2024)

Quick guide to Financial Modelling! Thanks Aleksandar Stojanović, MSc. The excel shortcuts are pure bliss explained in simple language

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FREE Financial Modeling HandbookWanna excel in your Finance career?Stop scrolling and start reading 👇Guys at Financial Modeling World Cup have prepared all the necessary things you need to succeed in your finance career or Excel Esports!This comprehensive handbook covers everything from basic financial modeling concepts to advanced techniques used by professionals in the industry.Whether you're a beginner or an experienced financial analyst, this guide will help you improve your skills and stay ahead of the competition. Top 10 Excel functions you should know in Financial ModelingTypical Excel Mistakes When Building a Financial ModelTop 5 Excel features for Financial ModelersInventory Valuation TechniquesConditional Formatting GuideDepreciation MethodsFinancial RatiosOptions PricingWhat is beta?This collection of resources is a great starting point for anyone looking to improve their financial modeling skills.So why wait?Start reading now and take your financial modeling skills to the next level! Got anything to add?Share your thoughts in the comments 💭P. S. Reposts are appreciated! 🔂-----------------------------------------#exceltips #SaaS #FinancialModeling #saascfo #fpanda🚀 You're SaaS company in early stage and wanna boost your business by leveraging FP&A?Jump on a call with me.(link on my LinkedIn profile)🔥 Wanna move to FP&A?Check out my Featured section and book a coaching session with me.(link on my LinkedIn profile)📚 Get my e-book "the Ultimate FP&A BI Guide for SaaS" (link on my LinkedIn profile)Did you enjoy this content?Here’s how you can show your appreciation:👍 Give this post a thumbs up➕ Follow me for more Finance Tips💬 Leave me a comment below - I respond to each (thoughtful) one🔔 Ring the bell icon on my profile to be notified of future posts like these

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The finance #cfa #cfainstitute #finance

One of the biggest mistakes I see people make with LBO Models is trying to make them FP&A Models too. (Here's the difference between them🔻)𝙇𝘽𝙊 𝙈𝙤𝙙𝙚𝙡Short shelf life: the primary purpose is to figure out if buying a company is a good idea, mainly by assessing how much debt a company can handle and what the corresponding returns might be.The P&L and Balance Sheet projections are thoughtful but directional: year-over-year growth and other basic assumptions so it's easier to stress-test.It may be useful in the future when contemplating "add-ons" (smaller companies the "platform" company might buy), but by-and-large its primary use case comes to an end once the deal closes.𝙁𝙋&𝘼 𝙈𝙤𝙙𝙚𝙡An FP&A Model, on the other hand, is a planning tool companies use to manage their core operations.Often built with much more operating detail, the FP&A Model is used to create Budgets and Forecasts (which are different things), and also serves as a reporting tool comparing Actuals to Budget.So now we're talking Headcount Schedules, Vendor Schedules, Contractor Schedules, and any other sub-schedule you can think of.This model has a much longer shelf life and is updated on a recurring basis (usually monthly).💡𝗞𝗲𝘆 𝗖𝗼𝗻𝗰𝗲𝗽𝘁: Think of an LBO Model like the SparkNotes version, and an FP&A Model as the whole book.𝘾𝙖𝙣 𝙇𝘽𝙊 𝙈𝙤𝙙𝙚𝙡𝙨 𝘽𝙚𝙘𝙤𝙢𝙚 𝙁𝙋&𝘼 𝙈𝙤𝙙𝙚𝙡𝙨?Sometimes, sure. But in my opinion it's a mistake to do so.Most often what happens is a "fresh rebuild" of the FP&A Model after the deal has closed.This is because the core functionality of the LBO Model (buying the company and adjusting the balance sheet) is no longer needed.So, you're keeping a lot of obsolete complexity in your file that will ultimately bog down the forthcoming FP&A detail (and there will be a lot).𝘼𝙗𝙤𝙪𝙩 𝙈𝙚👋Hey, I'm Chris Reilly. If you've ever felt overwhelmed or frustrated by Financial Modeling (but know how important it is), then please follow my page. I can help you become a Financial Modeling expert without the high cost of traditional education.𝙉𝙚𝙭𝙩 𝙎𝙩𝙚𝙥𝙨🔻Lastly, if you want to learn more about FP&A and Private Equity, I cover it in my weekly email series (link in comments 👇)

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Mastery of the 3-Statement FMCredit to Chris Reilly ✅#Finance #FinancialManagement #FinancialAccounting #CPA #FinancialModelling #IncomeStatement #BalanceSheet #StatementOfCashflow #KPI's

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An entire FP&A Operating Model fits on one page...———📚Unfortunately I can't cover everything in one post, so if and when the time is right, I offer refreshingly straightforward Financial Modeling Courses for FP&A and Private Equity Professionals. The link is in the comments if you're interested (if not, that's cool too 👍) ⤵️———𝗣𝘂𝗿𝗽𝗼𝘀𝗲 𝗼𝗳 𝗢𝗻𝗲-𝗣𝗮𝗴𝗲𝗿To present all the high points of the model in an easy-to-follow format that can also be forwarded in an email.𝗜𝗻𝗰𝗼𝗺𝗲 𝗦𝘁𝗮𝘁𝗲𝗺𝗲𝗻𝘁Covers the "big stuff" only like Revenue, Gross Profit, Net Income, and EBITDA.𝗕𝗮𝗹𝗮𝗻𝗰𝗲 𝗦𝗵𝗲𝗲𝘁Also covers the "big stuff" like Cash and Debt Balances (these are usually the two "must know" items).𝗦𝘁𝗮𝘁𝗲𝗺𝗲𝗻𝘁 𝗼𝗳 𝗖𝗮𝘀𝗵 𝗙𝗹𝗼𝘄𝘀A summary of the 3 Sections (Operating, Investing, Financing) and ending cash (make sure this matches your Balance Sheet!).𝗖𝗼𝘃𝗲𝗻𝗮𝗻𝘁𝘀Compliance check for the primary covenants, in this case Fixed Charge Coverage Ratio (FCCR) and Leverage Ratio.𝗥𝗲𝘁𝘂𝗿𝗻𝘀Investor returns on the company (if applicable) showing the Equity Value, ROI, and IRR.𝗩𝗶𝘀𝘂𝗮𝗹 𝗔𝗶𝗱𝘀Produced as-needed for the audience. In this example I show Capital Spend (broken out by Maintenance and Growth) as well as Net Working Capital.You would adjust this section for the KPIs your company wants to see.💥𝗠𝘆 𝗘𝗹𝗲𝘃𝗮𝘁𝗼𝗿 𝗣𝗶𝘁𝗰𝗵:——————————📚I give away my knowledge for free, but want to be transparent that I sell stuff too. So if and when the time is right, I offer refreshingly straightforward Financial Modeling Courses for FP&A and Private Equity Professionals. The link is in the comments if you're interested ⤵️

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Are you still building your financial models in spreadsheets?Forecastr makes financial modeling easy for founders ... and for CFOs.We have been working with founders and fractional CFO firms to help them be able to create better financial models in a fraction of the time it typically takes in spreadsheets.What are the advantages of building a financial model in Forecastr?✅ Build your financial model 10x faster✅ Easier to use than Excel or Google Sheets✅ Connect your financial model to your accounting software✅ Automate reporting to investors & Board members✅ Easily run, save and store new scenarios✅ Expert guidance & support from Forecastr's team of professional analysts✅ Guardrails that prevent you from 'breaking' the financial model✅ Get listed on Forecastr's INVESTOR CONNECT platform_______COMING IN JUNE!We are excited to be teaming up with Intuit, Escalon Services, Inc., The Startup Stack and Founderpath to do a FREE educational "Financial Model Teardown" next month!Mark your calendars for Tuesday, June 6th at 12pm MT. More info coming soon!And reach out to me if you would be interested in a free financial model review leading up to this event.#finance #financialmodeling

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An entire FP&A Operating Model fits on one page...

Are you still building your financial models in spreadsheets?Forecastrmakes financial modeling easy for founders ... and for CFOs.We have been working with founders and fractional CFO firms to help them create better financial models in a fraction of the time it typically takes in spreadsheets.What are the advantages of building a financial model in Forecastr?✅ Build your financial model 10x faster✅ Easier to use than Excel or Google Sheets✅ Connect your financial model to your accounting software✅ Automate reporting to investors & Board members✅ Easily run, save and store new scenarios✅ Expert guidance & support from Forecastr's team of professional analysts✅ Guardrails that prevent you from 'breaking' the financial model✅ Get listed on Forecastr's INVESTOR CONNECT platform_______COMING IN JUNE!We are excited to be teaming up withIntuit,Escalon Services, Inc.,The Startup StackandFounderpathto do a FREE educational "Financial Model Teardown" next month!🗓 Mark your calendars for Tuesday, June 6th at 12pm MT. More info coming soon!And .... if you would be interested in a free financial model review leading up to this event, we will provide a link for you in the comments below.#finance#financialmodeling

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Understanding the three statements is fundamental and foundational for all finance professional.

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