What are Financial Projections?
Financial projections involve a detailed exercise of analysis of past and current performance, factoring in various market dynamics and an organisation’s future plans to forecast future financial statements for the company.
A company needs to be ready with reasoned financial projections whether it is aiming to raise capital, reach out to potential buyers or evaluating a business acquisition. A major dichotomy comes into play as the seller is tempted to overstate the projections, whilst the buyer would want to take those with “ a pinch of salt”. This is where the role of independently prepared financial projections becomes crucial.
At PKF, we have a team of professionally qualified consultants with widespread experience across a wide range of industries. Our team adopts a continuous process of researching industry and economic parameters, runs various scenarios using modelling techniques and produces detailed and sustainable financial projections tailored to the assignment in hand. We ensure that the financial projections are well presented, in a user-friendly format with assumptions, ratio and sensitivity analyses. This enables our clients to take well informed decisions, thereby increasing the chances of achieving their financial objectives.