Early-stage software startup financial model
A complete financial model for a software startup with subscription and advertising revenue streams
This model contains the following:
1. Monthly revenue projections for each revenue stream.
A. The subscription stream has two levels of subscriptions: one-month and six-months.
B. There are four marketing strategies for the subscription stream.
C. The advertising stream is launched based on a financial threshold.
D. The advertising stream uses salesforce to generate sales.
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 lifetime value calculation for each revenue stream.
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Victoria Yampolsky, CFA, is President and Founder of The Startup Station, an educational and consulting company specializing in modeling and valuing early-stage ventures. Victoria helps early-stage founders master the necessary finance skills to evaluate the financial feasibility of their business models, translate them into comprehensive and actionable financial plans, and use those plans to gauge the effectiveness of their strategy. Since the launch of The Startup Station's educational program, more than 1,000 founders have completed the curriculum 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 Deutsche Bank and was a technology consultant with 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.