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How do I draft a Financial Projections Slide?

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Written by Jasmine Sunga
Updated over 5 years ago

Your financial projections show as the business looks in aggregate across time. Aggregating all of your customers / relevant units together. You will leverage parts of your unit economics to build this

This slide will typically build annually.

All you need to capture on this one slide are these elements:

  • Revenues

  • Notes: You want to see that this builds to a 50-100m revenue business in 5-7 years in the long term. If you are a SAAS business, you want to build to $1m ARR ($80K MRR) 12 months from launch ideally, and generally not later than 18 months from launch.

  • Net Cash Flow

  • Show when you break even and become cash flow positive. It’s better to get to the revenue levels above and sacrifice cash flow, then vice versa. 

  • Revenue Drivers (2-3 elements of what are the key drivers of revenue. Customers, seats / customer, price, etc. can be elements but use whatever is really critical for your business)

  • Gross Margins

  • These should be greater than 50%. Most software businesses should be 80-100%.

One approach is to show historical revenues plus revenues just one quarter out so the projections look believable. And then extrapolate that growth further on another chart and show projections 2-3 years out. Here’s an example from Box’s Series B.

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