financial modelling
Bespoke Financial Modelling from Paragon can help you plan and manage financial investments and returns where these are linked to operational issues.
Most finance directors have extensive experience of accounting tools, financial information systems and spreadsheets. Useful though these are, they are "financial in, financial out" tools and can only extrapolate linearly and in a 'static' fashion. Paragon dynamic financial models are designed to make it easy to use your financial expertise both to run your operations more efficiently and to predict the returns from those operations.
Our modelling will help you to construct and compare financial and operational scenarios and the linkage between them more accurately, thoroughly and with much greater ease and sophistication than you ever thought possible. What's more, by using our scenario management solution - exiio -, you are presented with an organised interface and results in a familiar format (e.g. Excel). You already know how to use a Paragon financial model!
However, financial models from Paragon do not only help financial directors. They help those making operational decisions in a company, understand the financial implications and help them to optimise what they do for the greatest return. Consequently, finance and operational people can work together in a far more effective fashion.
Many types of business can, and do, use financial modelling. However they are particularly useful in any of the following circumstances:
- A growing business that requires investment planning over 3 or more years.
- You have complex operations with many variable factors (either controllable or external) that can greatly impact financial results.
- A major diversification or new business area is being considered.
- Plans need to be both justified beforehand and monitored during a project, with the ability to re-plan quickly and efficiently where necessary.
There are numerous other advantages of financial modelling, such as understanding, quantifying and controlling risk factors, automated linkage to existing ledgers and the ability to present results in a format understandable to non-financial people.
An example of the power of a Paragon financial model is the diversification strategy of the Waste Recycling Group (WRG). WRG not only had to make the best use of a large investment, they also needed to demonstrate to external investors what the returns would be and to show that their plans were robust and well planned. Paragon constructed for them a bespoke sophisticated and flexible model that was successfully used to derive and demonstrate the optimum plan and which is now in use as the project progresses.