Annual Financial Planning Resources for Startups

With Q4 approaching, it’s time for startups to focus on their annual financial planning. Financial planning isn’t just about crunching numbers; it’s about positioning your startup for optimal performance and success in the year ahead. A solid financial plan helps you set clear goals, effectively manage resources, and make strategic decisions that drive growth. By planning ahead, you can anticipate cash flow needs, prepare for potential bumps in the road, and be ready to seize new opportunities. If you haven’t started, now’s the time to get going.

To help you get started, I’ve curated a list of six valuable articles from Burkland’s blog, each covering a different aspect of financial planning for startups:

1. What Types of Financial Plans Do Startups Need?

Startups need three types of financial plans: a Long-Range Financial Plan, an Annual Financial Plan, and an Intra-Year Forecast. This article explains each plan in detail, how they work together, and the best timing and frequency for preparing them.

2. Three-Step Approach to Annual Financial Planning for Startups

This article simplifies annual financial planning into three steps: building your financial model, gathering inputs and evaluating scenarios, and finalizing your plan for board approval. Following these steps will help your startup build a solid foundation and a clear roadmap for the upcoming year.

3. Annual Financial Planning for Startups: Part One – Preparation

The first part of this series focuses on preparing for financial planning by understanding the six key objectives and designing an efficient planning process. It includes practical tips on who should be involved, when to start, and which tools to use, tailored to your company’s size.

4. Annual Financial Planning for Startups: Part Two – Projections & Plans

Part two shifts the focus to building out your financial projections and plans with a walkthrough of the critical deliverables from your annual financial plan. It provides a sample forecast model and guidance on building a comprehensive plan, including revenue, expenses, cash flow, KPIs, and incentive compensation.

5. Annual Financial Planning for Startups: Part Three – Executing on Your Plan

The final part of the series covers executing your financial plan. It offers strategies for updating forecasts throughout the year and setting up scenario plans to quickly adapt to significant changes or pivots.

6. The Importance of Scenario Analysis in Financial Planning

This article emphasizes the importance of scenario analysis for planning around various “what-if” situations. It recommends setting clear triggers and pre-planned actions for different scenarios, helping your startup stay agile and make better strategic decisions amid uncertainty.

Take the Next Step with Professional Financial Planning

Getting your financial planning right is essential for your startup, but it’s not always easy to handle all the details on your own. Burkland’s fractional CFO team is here to help you develop a tailored financial plan that fits your unique needs and sets you up for success. Contact us to request more information.