Master the core financial statements that form the foundation of any model.

Understand how P&L, balance sheet, and cash flow statements work individually and—crucially—how they connect together in the real world.

What Is a Financial Model and Why Do You Need It?

Introduction to Profit & Loss

Understanding the Balance Sheet

Introduction to Statement of Cash Flows

Cash vs Accrual Accounting

How the Balance Sheet and Income Statement Are Connected

Understanding Debits & Credits

How Financial Statements Are Affected

Roll up your sleeves and create professional P&L and balance sheet templates from scratch. Learn proper formatting, structure, and calculation methods that reflect industry best practices.

Building a Summary P&L

Building a Summary Balance Sheet

Building a Detailed Profit & Loss

Building a Detailed Balance Sheet

Construct the most misunderstood financial statement—the cash flow statement. Learn the indirect method, proper categorization of cash movements, and how to ensure everything balances correctly.

The Psychology Behind Cash Flows

Showcasing the Impact on Cash Flows

The Mathematics Behind Cash Flows

Financial Statements and Their Connections

Create your first integrated financial model where all three statements connect properly. See how changes in one statement automatically flow through to the others, and verify everything balances with professional validation techniques.

Connecting the income statement to the balance sheet

Creating a statement of cash flows – detailed pt I

Creating a statement of cash flows – detailed pt II

Creating a summarized 3 statement model

Master the essential building blocks of professional models. Learn about drivers tabs, proper organization, version control, and the foundational principles that separate amateur models from professional ones.

Section Overview

Financial Model Structure

Drivers

Error checks

Color coding & auditing

Template tabs

Presenting (summary financials)

Section Overview

Transform your model with professional techniques. Implement color coding systems, create robust error checks, build user-friendly instructions, and design summary dashboards that executives can actually understand.

Create template tabs

Create a Drivers tab – Income Statement

Create a Drivers tab – Balance Sheet

Set color coding

Add an error check

Add an Instructions tab

Connect Summary Financials

Learn to incorporate real financial data into your model. Master the monthly process of updating with actuals and maintaining model integrity through proper version control and verification.

Why you should include actuals in your financial model

Actualizing your model

Develop various projection methodologies for revenue, expenses, and balance sheet accounts. Create forecasts that tell a coherent story and stand up to scrutiny from stakeholders.

Chapter Overview

Projecting Revenue

Projecting Headcount

Projecting Profit & Loss

Projecting Balance Sheet

Apply everything you’ve learned to create a comprehensive model from scratch. Set up proper structure, drivers, and connections following professional best practices.

Create a drivers for P&L

Create a drivers for Balance Sheet

Link Income Statement to Drivers

Link Balance Sheet to Drivers

Create a Statement of Cash Flows

Summary Financials, Instructions

Complete your model with advanced projections and learn the critical process of “rolling forward” with new actuals each month. Create powerful variance analysis that identifies key business insights.

Chapter overview

Set projections – Revenue & COGS

Set projections – Opex

Set projections – Other Income/Expense

Set projections – Assets

Set projections – Liabilities + Owners equity

Roll forward – Profit & Loss

Roll forward – Balance Sheet

Bonus: Budget vs Actuals Dashboard