Section 4 ? Working Capital

Many businesses fail to recognize the additional cash required to cover expenses during the startup period. In the model, you can enter the number of months you think it will ask before sales increase to the point of supporting the business.

This is done on the funding tab on row 9 shown below. The worksheet will look at your monthly expenses on the P&L tab and multiply that by the number of months you enter.

The template shows 2 months, you can change that to anywhere from 0 to 12 months. Consult with your advisors, bankers and other business owners to decide how long it may take to build your sales revenues.

Review these and adjust as needed.