Budget & Forecast Preparation
This is one of the key financial management tools that franchisees use to manage their business and use it to take proactive decisions.
Different budgets are used – Fixed Budget, Flexible Budget, Operating Budget, Sales Budget, Cash Budget, and Capital Expenditure budget. Many of these could also be subsets of the main financial budget.
Forecasts, on the other hand, are projections of a business’s future outcomes and are based on expectations, such as current trends or industry data. Budgets are typically created first, and then forecasts are used to monitor progress. Budgets are more static, while forecasts are more flexible.
US Franchise CPA specializes in preparing Budgets and Forecasts for franchisees based on a thorough understanding of the franchisee operations and discussions with the management team.
Budgets could be prepared yearly and then subdivided by quarter, allowing for better performance tracking and adjustments. This approach, often used in rolling budgets, helps organizations monitor and adjust performance more frequently.
Our work doesn’t stop with just preparing a Budget & Forecast. We also assist franchisees in monitoring their financial performance by comparing it with the Budget & Forecast. This helps our team identify the variances and suggest corrective action.
