Justin Jared
05-01-2020, 04:05 AM
In business plans, are pro-forma statements supposed to show promises of what your business intends to do in it's first few years of operation after opening? Or are they supposed to show estimates of what you would need to do to achieve various results?
Various results would be to break even, make a 10% profit, or a 20% profit as examples. Proforma statements I'm talking about are ones that would be drafted to present to banks to receive loans, or investors to receive funding.
What about what would happen to the business under various scenarios -- like if the business broke even after a certain amount of time, made a 10% profit, or made a 20% profit?
What are pro-forma statements supposed to show?
Various results would be to break even, make a 10% profit, or a 20% profit as examples. Proforma statements I'm talking about are ones that would be drafted to present to banks to receive loans, or investors to receive funding.
What about what would happen to the business under various scenarios -- like if the business broke even after a certain amount of time, made a 10% profit, or made a 20% profit?
What are pro-forma statements supposed to show?