Strategic Plan Part 5: Financials.
Part 5: Financials (Topic 6)
Grand Canyon University Market Expansion
You are to put the information in a PPT. You wiill complete the excel, but put the information in the PPT and explain in the speaker notes. Remember to make sure you are defining the concepts in your speaker notes and then explaining what your numbers mean.
A projected financial statement analysis seeks to forecast the impact of various implementation decisions. The pro forma financial statement can be part of the risk analysis of strategic plan. The goal of this assignment is to ensure your strategic plan is viable financially. In other words, does it create value for the firm?
Consider the cost structure and revenue streams for your strategic initiative plan. Research and data collected so far and will likely change once your product or service is commercialized. Each statement should address financial components of features, expenses, and sales of your product or service. It is typical for net income to be negative at this point. Do not assume that you have sales at this point unless you have sold your product or service.
Research the following if your plan is a market expansion plan for an existing organization, or a mergers and acquisitions plan:
- Balance sheet
- Income statement
- Statement of cash flow
- Fixed and variable expenses
- A projected budget
- Breakeven analysis
Complete the “Projected Financial Statement Analysis (Pro Forma 3-Year Financial Plan)”including the “Questions” tab, “12 Month P& L” tab, “Year 1” tab, “Year 2 P&L” tab, and “Year 3 P&L” tab.
The first year is monthly and the second and third year are presented quarterly.
Please note the questions in the “Questions” tab may be answered at different points in completing the Profit and Loss information.