FREE EES Center Financial Model – a Road Map to Center Success!
Amazing Financial Modeling!
As a business analyst for a $1 billion division of AT&T Wireless, I learned a secret that only a few CFOs and entrepreneurs know. It forever changed the way I looked at businesses.
The secret was that most enterprises, even billion dollar ones, could be modeled with less than a dozen key metrics. For example, if you know these two metrics:
- Average Price per Session
- Average Sessions per Month
You can easily calculate average revenue per month. You are immediately able to see the impact of either a change in price or session sales.
Many business owners mistakenly believe that a CPA or bookkeeper will give them visibility into their business futures. Unfortunately, balancing your accounts or figuring out taxes is an entirely different art than building a financial model.
We have developed a Google sheet that looks at a number of key metrics. From these assumptions, we are able to project sales into the future. Change an assumption and the model automatically recalculates a new future.
Building and understanding a financial model for your center may be one of the most important things you do for your center business.