Lately, in lots of online media outlets, we noticed an increasing interest in the topic of business plans.
One of the more important but often overlooked parts of a good business plan is the part dealing with financial projections.
Since calculating all the financial projections of a more detailed business plan can become cumbersome, we at DigidWorks decided to create a simple calculator to help aspiring and experienced entrepreneurs alike with all their business planning.
This application is open sourced and completely free to use. It's licensed under the "Apache 2.0" license.
Go directly to the Business Budget Calculator application.
Here we'll discuss how to make the most of the tool and quickly move forward with your road map.
How to use the business budget calculator
The TLDR is:
You add the income and costs that you forecasted for your business, and you get a 5-year financial projection.
Now, the full version.
The business budget calculator is a locally executed web application without a web server processing the data. Every user is only able to see the data they enter.
There are three main parts in the application - the Dashboard, the Income, and the Costs.
The Dashboard gives you a 5-year financial projection based on the currently entered Income and Cost sources.
The Income part shows a list of all entered income sources. It gives you the option to enter new ones as well as edit and delete the ones you've already entered.
The Cost part is similar to the Income part. The only difference being it deals with the costs of your company.
When you fill out all your Income and Cost sources you can navigate to the Dashboard to see the results and use them in any way you want.
Dashboard (Financial projections)
The financial projections on the dashboard don't make any predictions, assumptions, or forecasts on your behalf.
This is a simple calculator that's to be used only to simplify date and period based calculations as these can get very cumbersome and are generally error-prone.
This is not an AI (artificial intelligence), ML (machine learning), or data-scraping tool that can give any additional insights as to what the actual financial results for your business will be.
Types of cash flows (Income & Costs)
There are several different time-bound types of Income & Cost sources. Their role is to make things easier when dealing with periodical cash flows.
You don't have to do any calculations yourself. You only mark the cash flow as daily, weekly, monthly, or yearly.
Of course, you can mark cash flows as one-time-only, too.
Ongoing vs. periodical
When you mark a cash flow as something other than one-time-only, you'll also be able to choose a period for it.
If this is a cash flow, that's not expected to end any time soon, you can mark it as ongoing. On the Dashboard, it'll be calculated for the whole 5-year period.
Currently, this is a fairly simple application. If there's any feature you'd like to see implemented here, don't hesitate to contact us. We'll be more than happy to include it in the future versions of the business budget calculator.
Happy business planning!