Provisional and Projected Financial Statements — Estimated. Justified. Presented.
Provisional statements for the current period and projections for future years, built on assumptions that are documented and can be defended.
Book Free ConsultationLenders assessing a proposal ask for three things: audited accounts for completed years, provisional statements for the year in progress, and projections for the years the facility will run.
At N D Savla & Associates, we prepare provisional and projected statements for businesses in Nashik and across Maharashtra, in the formats lenders use and with the assumptions set out explicitly.
Projections fail credit appraisal when they are optimistic without explanation. A jump in turnover has to be tied to capacity, orders or a market the business can point to, so we build the projection from operating drivers rather than applying a growth rate to last year.
Our Provisional Statement Services
Provisional Statements
Statements for the current period up to a stated date from the books.
Projected Statements
Projected balance sheet, profit and loss and cash flow for future years.
Assumption Documentation
Written assumptions behind each projected line, with their basis.
Ratio and Covenant Schedules
Computation of the ratios and covenants the lender will test.
Working Capital Assessment
Assessment of working capital requirement supporting the facility sought.
Sensitivity Analysis
Testing of the projection against slower growth or margin compression.
Lender Format Preparation
Presentation in the specific formats prescribed by the lender.
Query Support
Support in responding to the appraisal queries raised on the projections.
Our Preparation Process
Facility Understanding
We understand the facility sought and what the appraisal will examine.
Historical Base
Past performance is analysed to establish the base the projection builds from.
Assumption Setting
Operating assumptions are agreed with the management and documented.
Model Build
Provisional and projected statements are built with the cash flow linked through.
Review and Submission
Ratios are tested, sensitivities are run and the pack is prepared for submission.
Why It Matters
Frequently Asked Questions
Applying for a loan or facility?
Tell us what you are seeking and from whom — we’ll build the provisionals and projections to match.
