When putting together the financial documents for an events consultant business plan, what documents are required?
As Mr. Price alluded, if the plan is for internal use only, then you can put in whatever you want. However, you should keep in mind that the purpose of the plan is to get you to think about what should and can happen to your business. That said, the balance sheet and income statement can shine a light on some issues that may be missed elsewhere. For example, the income statement can show when you should expect to reach profitability given certain assumptions. The balance sheet gets you to think about your assets and expenses. This information can also be used to determine certain performance ratios that some financial institutes look at when determining credit ratings. I think a key factor here is to go back and analyze your performance and update the plan every so often (say yearly). If you didn’t reach your net income goals, figure out why and see if any changes need to be made.
