One of the most critical and least often performed business procedures is to develop and update Financial Models that reflect a business’ operations.The common excuses for not creating and/or updating Financial Models are: 1.Business conditions change too rapidly to build an accurate model.2.My business is too complex to build an accurate model. 3. No one has the time to construct and update a financial model.CTBC believes that although there are complexities in constructing Financial Models, no business will be able to maximize profitability and cash flows without having them.
Financial Models that can truly affect the bottom line do not need to be overly complex.In fact, the best models are simple, easy to understand and update, and reflect the key variables to a business that drive profitability and maximize cash conversion rates.
CTBC has constructed all types of Financial Models.The simplest and most widely used Financial Models are interactive Microsoft Excel-based spreadsheets.The most complex models that CTBC has constructed are multivariable Regression Models that employ Linear Programming, Statistical Probability Analysis and Decision Theory.
CTBC can help your company create Financial Models that cover the 3 major business functions.All the inputs to maintain and update the Financial Models will be identified.