Startup Financial Modeling, Part 3: The Income Statement and Custom Detail Tabs

by Will Little and Troy Henikoff

In the first two posts in this series, we examined why building a financial model for your startup is important and how to practically get started with your assumptions tab. Today, we’ll continue by diving into the income statement and supporting tabs used to calculate your projected revenue and expenses.

But first, in case you aren’t yet convinced that it’s worth your time to build a financial model for your business, here’s a quick video we put together showing how a model can be used to gain insight about what assumptions drive forecasted cash most significantly:

We’ll discuss these types of learning nuances in more detail in our next (and final) post in this series. But first, we have some work to do in order to fill out the model.

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