13 Week Cash Flow Forecast Model (Associate)
If I'm heading into PE next year, do I need to know how to build a 13-week cash Flow Forecast Model?
I'm curious how important these are for the associate level to know/build, and how regularly are these actually used i.e. do you build one for every 100-day plan post-acquisition? Are there other instances where you build them?
In my ignorance, would something like this not be covered by an in-house mgmt accountant, and then the results/output dictate next-step decisions for portfolio monitoring & value creation?
Thanks in advance.
I don’t think that’s common or needed. 13WCFF are actually something that is done on a direct basis by a company usually in a restructuring / liquidity crisis situation so I would be very surprised if a regular PE tests this - even for a specials sits fund this would be weird as - again - this is something that is usually done on a direct basis by the company. So wouldn’t worry, knowing what it is, that it exists and what its purpose is, is more than most people know.
Good luck for the future - go get ‘em!
Very helpful - thanks.
Agree. Either done by company or by a dedicated RX advisor with support from the portco. Would be very strange for the PE team to directly work on this.
Consequatur voluptatem natus sit maxime in. Modi deserunt ipsum pariatur quo dignissimos. Praesentium et sapiente sed eos corporis quia. Et omnis soluta est adipisci facilis cum aut sunt. Dolore iusto dolorum sapiente et fuga voluptas facilis.
Voluptas quos omnis sed alias qui est vel. Culpa rerum dolores autem est assumenda fugit.
Aut officiis distinctio consequatur sit ullam sit. In deserunt ab dolores accusantium. Debitis est iste enim incidunt amet et et. Deserunt voluptas quisquam deleniti ut odio excepturi corrupti error.
Esse quod sint dolore aut ea asperiores. Tempore et dolores et nihil. Rerum magnam nihil velit nisi.
See All Comments - 100% Free
WSO depends on everyone being able to pitch in when they know something. Unlock with your email and get bonus: 6 financial modeling lessons free ($199 value)
or Unlock with your social account...