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Cleaning & Janitorial Business Startup Financial Model (Excel XLSX)
Excel (XLSX)
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INTEGRATED FINANCIAL MODEL EXCEL DESCRIPTION
One of the most straightforward ways to plan out the unit economics of a service business is simply defining a work force, their pay, and how much their time can be billed for to clients. This financial model is really easy for anyone to use based on that concept. If you need to scale more workers than there are slots available in the template, simply enter values for each slot that represent multiple tranches of workers.
The benefits of this tool are focused on variable expenses relative to top line revenue and this is highlighted with bottom-up assumptions. It makes a clear picture for what happens to cash flow over time if you are billing customers a certain amount for the hours of service provided and paying workers another amount for those same hours. Scale up your workforce to see what potential revenue growth is possible.
This 5-year startup financial model lets the user plan out a comprehensive operating forecast and cash flow summary based on up to 50 workers. There will also be a final annual financial summary and project, investor, and operator cash distribution / return summary with IRR if an investor was defined in the assumptions.
The basis for revenues is defined by what each billable hour rate is for each worker and their expected billable hours per month as well as their wages earned. This gets the model down to a contribution margin.
Other general operating expenses can be defined in their own schedule based on the start month of each, description of each, and the monthly cost in each year. The model also has assumptions for debt service if some of the startup funds are sourced from traditional debt. There is also a defined start month for each worker in order to plan out the scaling of such an operation.
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Source: Best Practices in Integrated Financial Model Excel: Cleaning & Janitorial Business Startup Financial Model Excel (XLSX) Spreadsheet, Jason Varner | SmartHelping
ABOUT THE AUTHOR
I graduated in 2011 with a Bachelor's degree in Accounting and began my career as a financial analyst at a small chain of auto repair shops. After gaining valuable experience, I launched my own practice specializing in real estate underwriting, later expanding into general business modeling.
I honed my spreadsheet modeling expertise by completing over 400 projects on Upwork with a 100% success
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