Early-stage product startup financial model
A complete financial model for a product startup with four distribution channels
"Coolest Product Ever" sells its product via four distribution channels: Online, Events, Sales Reps, and Wholesale.
- There are four marketing strategies for the online distribution channel: digital marketing, social media marketing, influencers, and podcasts.
- The wholesale channel uses a salesforce to secure distributors.
The company uses a third-party fulfillment system and has limited warehouse operations.This model contains the following:
1. Monthly revenue projections for each distribution channel.
A. Online distribution.
C. Sales reps
2. Monthly variable and dynamically determined operating costs.
3. Yearly salaries and overhead costs.
4. Monthly working capital and fixed asset projections.
5. Annual income statement, balance sheet, and cash flow statement.
6. Valuation and funding needs.
7. Break-even analysis and financial summary.
8. Customer acquisition costs for each revenue stream.
Victoria Yampolsky, CFA, is the President and Founder of The Startup Station, a comprehensive resource for modeling and valuing early-stage startups. She evaluates the financial feasibility of business models and specializes in the financial modeling and valuation of pre-revenue companies. Since founding The Startup Station in 2013, she has advised companies across more than ten industries, ranging from technology, manufacturing, and consumer products to media, entertainment, and fashion.
She also created a finance curriculum for early-stage founders and launched The Startup Station's educational program in 2015. Since then, more than 1,000 founders have attended her online and in-person finance classes and learned the basics of financial modeling, valuation, and startup financing.
Victoria is an advisor to DreaMe, Opkix, and Stringflix, as well as a founder of several ventures in media and entertainment. Previously, Victoria worked for the Deutsche Bank Research Department and performed IT consulting for CapGemini's Financial Services Division. Victoria holds a Bachelor's Degree, Cum Laude, in Computer Science, with a minor in Mathematics, from Cornell University and an MBA, with honors, from Columbia Business School. Victoria is also on the Advisory Board of the Computing and Information Science (CIS) Department of Cornell University.