7.3. Current financial planning

Current planning is considered as part of long-term planning and represents a specification of its goals. It is carried out in the context of the three above-mentioned documents. The current financial plan is drawn up for the year with quarterly and monthly breakdowns. This is explained by the fact that seasonal fluctuations in market conditions are leveled out over the course of a year, and the breakdown makes it possible to track the synchronicity of fund flows.

Annual traffic plan cash is broken down by quarter and reflects all receipts and areas of expenditure.

The first section, “Receipts,” examines the main sources of cash inflows by type of activity.

1). From current activities: revenue from sales of products, services and other income;

2). From investment activities: revenue from other sales, income from non-sales transactions, from securities and from participation in the activities of other organizations, savings from construction and installation work performed economically, funds arriving in order equity participation in housing construction;

3). From financial activities: increase authorized capital issuing new shares, increasing debt, obtaining loans, issuing bonds.

The second section, “Expenses,” reflects outflows of funds in the same main areas.

Costs of production, payments to the budget, payments from the consumption fund, increase in own working capital.

Investments in fixed assets and intangible assets, R&D costs, leasing payments, long-term financial investments, expenses from other sales, non-sales operations, maintenance of facilities social sphere, others;

Repayment of long-term loans and interest on them, short-term financial investments, payment of dividends, contributions to the reserve fund, etc.

Then the balance of income over expenses and the balance for each section of activity is determined. Thanks to this form of plan, planning covers the entire cash flow of the enterprise, which makes it possible to analyze and evaluate the receipts and expenditures of funds, and make decisions on financing the deficit. The plan is considered completed if it provides sources for covering the deficit. The development of a cash flow plan occurs in stages:

1. The planned amount of depreciation charges is calculated, because it is part of the cost and precedes planned profit calculations. The calculation is based on the average annual cost of fixed assets and depreciation rates.

2. Based on the standards, a cost estimate is drawn up, including costs for raw materials, materials, direct labor costs, overhead costs / for production and management maintenance /

IN modern conditions The process of cost planning by responsibility centers is becoming increasingly widespread, which involves dividing the enterprise into structures, the head of which is responsible for the costs of this unit. Planning consists of developing a cost matrix that shows three dimensions of information:

Dimension of the responsibility center where the cost item arose;

Dimension production program, for what purpose it arose;

Dimension of the cost element (what type of resources were used).

When summing up costs in cells by row, planned data for responsibility centers is obtained, which is important for management. When summed by columns, planned data on commodity costs is obtained, which is necessary to determine the price and profitability of the program. The matrix makes it possible to determine the cost of product sales for the development of annual plans and helps reduce costs, taking into account the responsibility for this of specific departments.

3. revenue from sales of products is determined taking into account influencing factors in the planning period.

The next document of the annual financial plan is the planned profit and loss statement, which specifies the predicted amount of profit received. The final document is a balance sheet reflecting all changes in assets and liabilities as a result of planned activities.

As the activities laid down in the financial plan are implemented, actual data is recorded and financial control is carried out.

The foreign method of developing financial plans is the method of developing a financial plan on a zero basis, which is based on the fact that each type of activity at the beginning of the current year must prove its right to exist by justifying the future economic efficiency funds received. Managers prepare a cost plan for their area of ​​activity at a minimum level of production, and then the profit from the additional increase in production for which they are responsible. Senior management thus has the information to determine priorities and areas for spending resources in order to maximize their effectiveness.

Previous

The basis of financial planning in a company is financial forecasting, which is based on determining the possible sales volume and the corresponding expenses. Financial planning includes the preparation of strategic, current and operational plans and, accordingly, the preparation of general, financial and operational budgets.

Strategic plans represent plans for general business development and, taking into account the financial aspect, determine the volume and structure financial resources necessary for the preservation and development of the company. The strategic financial plan is focused on achieving the most important financial indicators, characterizes the investment strategies and opportunities for reinvestment and accumulation of the company.

Current plans are built by decomposing the goals of the strategic financial plan from the macro level to the micro level. In other words, if the strategic financial plan characterizes the priority areas for investing and borrowing financial resources and the prospects for changing the capital structure, then current financial plans detail these areas, linking various sources of resources with each type of investment, assessing the effectiveness of each source, and also give a financial assessment of each from the company's activities.

Operational plans represent short-term tactical plans and reveal certain aspects of the company’s activities taking into account strategic goals.

The budgeting process is the process of determining the company's future actions in the formation and use of financial resources. The budget period usually covers a short-term period (up to a year), but within the framework of development financial strategy the budget is drawn up for more long period, equal to the period strategic planning. When drawing up long-term budgets, modeling of the company's financial activities occurs, the result of which is the development of target financial indicators that the company plans to achieve based on the results of the strategic period. Final documents when developing long-term strategic budgets - profit and loss statement, forecast balance sheet and cash flow statement. When developing short-term budgets, more detailed planning occurs economic activity, based on the results of which adjustments can be made to strategic budgets. Operating budgets are part of the company's overall annual (quarterly) budget. A company's overall budget typically consists of an operating budget, which includes the budget for sales, production, materials purchases, business expenses, etc., and a financial budget, which includes an investment budget, a cash budget, and a projected balance sheet.

The main idea implemented in the budgeting system is the combination of centralized management at the level of the entire company and decentralized management at the level of structural divisions, taking into account overall strategy development.

The starting point in building a long-term strategic budget is forecasting the volume of sales for the strategic period. When identifying trends in a company's development, it is necessary, based on actual data for periods preceding the forecast period, to establish patterns of its development. For this purpose, the financial statements of the enterprise and a wide variety of information, including marketing, are used.

Forecasting sales volume is a very important point, since the consequences of an unreliable forecast can be very serious. First, if market expansion occurs in large sizes than the company planned, and its development will be accelerated, then the company may be unable to satisfy the needs of its consumers. On the other hand, if the forecasts are overly optimistic, the company may find itself with excess capacity, which means low levels of business activity and profitability equity. Thus, an accurate forecast of sales volume is critical to the well-being of the company.

Statistical methods can be used to forecast sales volumes. In this case, the resulting forecast is a basic one and can be subsequently adjusted taking into account external environment and other factors. Statistical models are conveniently used to forecast sales year-by-month for the purpose of forming operational budgets.

Example 1

Consider the tool p forecasting the levels of a series of dynamics based on a multiplicative model.

The results of the activities of one of the companies within the Energocent holding were taken as initial data. The company has been selling rolled metal products in Russia since 2002. The initial data reflects the dynamics of shipments of rolled metal products in tonnage based on the results of 2003–2005. (Table 1).

Goals this study follow from the task of developing an operating budget:

1. Carry out a forecast for the shipment of rolled metal products for 2006, broken down by month based on a multiplicative model. To do this you need:

• determine the period for constructing a multiplicative model;
• select the type of trend equation;
• build a trend, check significance, interpret the data obtained.

2. Analyze a series of dynamics for the presence of seasonality. Calculate seasonality indices.

3. Construct a trade turnover forecast for 2006, taking into account the seasonality factor.

Table 1. Dynamics of trade turnover based on the results of 2003–2005. in tonnage

Month
January
February
March
April
June
July
August
September
October
November
December

All calculations and plotting were carried out using the Excel program package: Service - Data Analysis - Regression.

Rice. 1. Graph of trade turnover dynamics for 2003–2005.

At the first stage of time series analysis, a data graph was constructed and their dependence on time was identified (Fig. 1).

From the study it follows that trade turnover in 2003–2005. has a long-term increasing trend.

According to Fig. 1 linear regression equation has next view: Y = 29.447x + 967.87. This means that every month trade turnover increases by 29,447 tons.

Since our time series consists of quantities measured monthly, the seasonal component must be taken into account. Calculation of seasonality indices is presented in table. 2.

Table 2. Calculation of seasonality indices by month

Month										Seasonality indices, %	Chain growth rates of seasonality indices, %
	Actual value	Theoretical value		Actual value	Theoretical value	Y f /Y t	Actual value	Theoretical value	Y f /Y t
January
February
March
April
June
July
August
September
October
November
December

Rice. 2. Diagram of trade turnover seasonality indices

The set of calculated seasonality indices characterizes the seasonal wave of trade turnover in intra-group dynamics. To obtain a visual representation of the seasonal wave, the obtained data are depicted in the form of a radar chart (Fig. 2).

The next step was to calculate trade turnover taking into account trends and seasonality and build a model based on these data (Fig. 3).

Rice. 3. Trade turnover model taking into account trends and seasonality

Then a forecast was made for the company's turnover by month, taking into account the seasonal component for 2006. The forecast results are presented in table. 3 and in Fig. 4.

Table 3. Trade turnover forecast for 2006 Rice. 4. Schedule of forecast trade turnover in 2006

Month	Trade turnover, t
September

Based on the calculation results, the following conclusions can be drawn.

As economic conditions change over time, managers must predict the impact that these changes will have on the company. One of the methods to ensure accurate planning is forecasting. The example used a quantitative forecasting method through time series analysis. The main assumption underlying time series analysis is the following: factors influencing the object under study in the present and past will influence it in the future.

As can be seen from the model of trade turnover dynamics, the time series has a trend. However, actual figures vary widely. This is because the trend is not the only component of the time series. In addition to it, the data includes factors that form seasonal changes in the levels of a number of dynamics and random factors.

When analyzing trade turnover data, seasonal fluctuations were identified. IN in this example The largest peak of the seasonal wave occurs in the third quarter of the year. During this period the company has the highest sales volume. Having predicted the turnover of rolled metal products for 2006, we can assume that the smallest shipment volumes are expected in January-February, and an increase in volumes - in July-September.

Fluctuations in turnover should be reflected in the company's operating budgets and, first of all, in the sales budget. Based on the forecast described above, the company needs to develop a set of measures aimed at increasing sales during the period of seasonal reductions in turnover by providing discounts, holding special promotions, etc., develop a program to maintain the increasing trend in turnover, as well as to neutralize factors contributing to the reduction sales volumes.

When developing a company's strategic budget, it is necessary to calculate the achievable amount of revenue for each year of the strategic period. To do this, you need to forecast sales by year up to the turn of the strategic period, and then determine whether the company is able to achieve the forecast volume due to internal potential without attracting additional capital.

If the company works for full power and its capital structure coincides with the target, then the acceptable growth rate of sales volume can be found using the formula:

g = (Rb(1 + ZK/SK)) / (A/S – Rb(1 + ZK/SK)),

where g is the acceptable growth rate of sales volume;

R - projected net margin (ratio net profit to sales volume);

b - profit reinvestment coefficient (increase in retained earnings to net profit or one minus the dividend payment rate);

ZK/SK - target value of the ratio of debt and equity capital;

A/S is the ratio of the amount of assets to sales volume.

Example 2

In the process of developing a financial strategy in holding company Energy Center, using the DuPont formula, predicted and balanced the main financial indicators: Net margin was determined at 4.36%; the dynamics of changes in asset turnover are set based on the average annual growth rate; the dynamics of dividend payments determined by the owner are taken into account; assets and other indicators were predicted (Table 4).

Table 4. Forecast of main financial indicators until 2010

DuPont diagram
Net profit
Equity
Net Margin
Asset turnover
ROA(net profit)
Leverage
Dividends
Payout ratio
Retention percentage

Let's calculate an acceptable rate of sales growth for 2008 based on 2007 data, taking into account the following assumptions: the values ​​of relative indicators in 2008 will remain at the 2007 level, the current structure of assets and liabilities of the balance sheet is optimal, depreciation charges are fully used to replace retired equipment :

g = (0.0436 x 0.99 x (1 + 85,297 / 158,542)) / (243,839 / 1,219,196 – 0.0436 x 0.99 x (1 + 85,297 / 158,542) = 0.497 = 49.7%.

Thus, without changing the main financial indicators, the company can achieve revenue in 2008 in the amount of 1,825,136 thousand rubles. (1,219,196 × 1.497).

If the rate of sales growth turns out to be higher than acceptable, the company will need to attract additional capital, change the proportion between equity and borrowed funds, reduce the dividend payment rate, or adjust the rate of revenue growth.

If the rate of increase in sales volume is lower than possible, then the company will receive a profit greater than its investment needs, in which case its financial plans should provide for an increase in the amount of cash in its accounts and securities, reducing the share of borrowed capital, investing in non-current assets, increasing dividend payments. In our example, this is exactly the case: in fact, in 2008 the planned sales volume is 1,540,305 thousand rubles. In its financial strategy, the Energocenter holding company plans to increase the share of cash and short-term financial investments in the composition of current assets, real and long-term financial investments, and also increase the dividend payment rate in 2008 to 25%. At the same time, when modeling the main financial indicators for 2008, the structure of assets and liabilities was changed, the net margin remained at the same level.

Based on data from 2008–2010. the same situation is observed: the planned sales volume by year is lower than possible, which is reflected in the formed financial goals of the company.

g 2008 = (0.0449 x 0.75 x (1 + 93,843 / 181,211)) / (275,054 / 1,540,305 – 0.0449 x 0.75 x (1 + 93,843 / 181,211)) = 0.405 = 40.5%,

g 200 9 = (0.0463 x 0.6 (1 + 77,357 / 222,871)) / (300,228 / 1,861,413 – 0.0463 x 0.6 x (1 + 77,357 / 222,871)) = 0.302 = 30.2%,

g 20 10 = (0.0476 x 0.6 x (1+ 50,699 / 270,260)) / (320,959 / 2,182,522 – 0.0476 x 0.6 x (1 + 50,699 / 270,260)) = 0.3 = 30%.

At the next stage, when revenue is determined, an enlarged forecast balance sheet of the company is compiled for each year for the period of strategic planning. In practice, to plan each balance sheet item, a forecasting method is often used, based on the percentage change in balance sheet items in relation to sales volume. The essence of this method is to determine those balance sheet items that change in the same proportion as the sales volume. However, this method has some limitations, expressed in target indicators defined within the company's financial strategy.

Let's return to our example (Table 4). For the strategic period, using the DuPont formula, the main financial indicators were determined: net profit, assets, equity and debt capital. Magnitude non-current assets set taking into account the investment plan in fixed assets, current assets are calculated on a residual basis. The company will not use in its activities long-term loans, and will use its own and short-term borrowed capital to finance current needs.

In accordance with the strategic development program, taking into account the external and internal environment, as well as using the percentage of sales model, the company has determined the following:

• The share of non-current assets in the balance sheet currency will be 47%.
• The share of fixed assets in the structure of non-current assets will reach 80% by the end of 2010.
• Long-term financial investments should range from 15 to 17% of total value non-current assets.
• Inventories and costs - about 6% of total amount current assets.
• The receivables turnover period will decrease by the end of the strategic period to 12 days.
• The share of cash and short-term financial investments will be about 50% of current assets, while the amount of cash is projected at 15–18% of the total amount of current assets.
• The company will not create reserves for the strategic period.

The forecast balance sheet up to 2010 with details of individual items is presented in table. 5.

Balance sheet item
I. NON-CURRENT ASSETS
Intangible assets
Fixed assets
Unfinished construction
Profitable investments in material assets
Long-term financial investments
Deferred tax assets
Other non-current assets
Total for Section I
II CURRENT ASSETS
Inventory and Value Added Tax on purchased assets
Accounts receivable (payments for which are expected more than 12 months after the reporting date)
Accounts receivable (payments for which are expected within 12 months after the reporting date)
Short-term financial investments
Cash
Other current assets
Total for Section II
III. CAPITAL AND RESERVES
Total for Section III
IV. LONG-TERM LIABILITIES
Total for Section IV
V SHORT-TERM LIABILITIES
Loans and credits
Accounts payable and Other current liabilities
Debt to participants (founders) for payment of income
Deferred income
Reserves for future expenses
Total for Section VII
BALANCE (sum of lines 490+590+690)

Similarly, using the DuPont model and the percentage of sales model, a forecast income statement is prepared (Table 6).

Table 6. Forecast income statement

Indicator
Revenue (net) from the sale of goods, products, works, services (less value added tax, excise taxes and similar mandatory payments)
Cost of goods, products, works, services sold
Gross profit
Business expenses
Administrative expenses
Profit (loss) from sales
Other income and expenses Interest receivable
Interest payable
Income from participation in other organizations
Other income
Other expenses
Profit (loss) before tax
Current income tax and other similar mandatory payments
Net profit (loss) of the reporting period

At the next stage, a cash flow budget (CFB) is formed using the indirect method, which includes data from the forecast balance sheet and profit and loss statement. Indirect ODDS discloses information about sources of financing - net profit and depreciation charges, changes in working capital ah, including those formed from own capital. In other words, indirect ODDS is focused on analyzing the company's cash flows.

At the last stage, an analysis of the company’s predicted economic activity is carried out in the following areas: analysis of liquidity, profitability, business activity, financial stability. In case of unsatisfactory results of the analysis, budget items are revised.

Example 3

Let's analyze the business activity of the holding company "Energocenter" (Table 7) based on the forecast balance sheet and profit and loss statement and draw conclusions regarding satisfaction with the calculated indicators.

Table 7. Analysis of the company's projected business activity

	Indicator				Changes (+, –) 08–09	Changes (+, –) 09–10
	Sales revenue
	Net profit
	Capital productivity of production assets
	Total capital turnover ratio
	Working capital turnover ratio
	Inventory turnover ratio (according to s/s))
	Average receivables turnover period (in days)
	Accounts receivable turnover ratio
	Average period of material turnover (in days)
	Accounts payable turnover ratio (according to c/c)
	Duration of accounts payable turnover
	Equity turnover ratio
	Duration of the operating cycle (in days)
	Duration of the financial cycle (in days)

Having analyzed the company’s business activity forecast for the strategic period, we can draw the following conclusions: the efficiency of using fixed assets and other non-current assets will remain positive trend and will amount to 14.83 by the end of the strategic period. The total capital turnover ratio will increase and reach 7.03 at the end of the period. The turnover ratios of working capital, inventories and costs will also maintain a positive trend. The average receivables turnover period at the end of 2010 will be 11.88 days versus 23.33 in 2006 due to the tightening of the company's credit policy. The accounts payable turnover ratio will increase by 22.14 and amount to 31.36 at the end of 2010; The duration of accounts payable turnover will decrease and amount to 11.64 days. By increasing the efficiency of asset use, the company will be able to increase its level of solvency and, accordingly, increase payment discipline when working with creditors, which will directly affect the duration of the accounts payable turnover. At the end of the strategic period, a slight decrease in the equity capital turnover ratio is expected - by 0.22 points. The operating cycle has decreased by 13.31 days to 13.65 days. Financial cycle will increase and amount to 2.01 days by the end of 2010.

Thus, we can conclude that business activity company is satisfactory.

Promising financial planning defines the most important indicators, proportions, rate of expansion of reproduction and is the main form of implementation of the company’s strategic goals. Long-term financial planning, as a rule, covers a period from one to three years, less often up to five years. It includes the development of a company's financial strategy and modeling of financial activities. Financial strategy is the determination of long-term financial goals and selection of the most effective ways their achievements. Modeling includes forecasting financial performance and financial condition company for the long term and forecast of key financial indicators.

As an analysis of management theory and practice shows, the implementation of a financial strategy is facilitated by the introduction and use of an integrated controlling system in a company. IN general view controlling includes setting goals, collecting and processing information for adoption management decisions, implementation of the functions of operational control of deviations of the company’s actual performance indicators from the planned ones, their assessment and analysis, as well as the development possible options management decisions. One of the main controlling tools is the budgeting mechanism, which acts complex process including planning, accounting and control financial flows and results of implementation of the financial strategy.

A financial plan is an integral part of intra-company planning, the process of developing a system of indicators to provide an enterprise with the necessary funds and improve the efficiency of its financial activities in the future period. Financial planning is one of the main functions of management, including determining the required amount of resources from various sources and the rational distribution of these resources over time and by structural divisions of the enterprise.

Financial planning is necessary to provide the necessary resources for the company's activities to:

• choosing options for effective investment of capital;
• identifying internal reserves for increasing profits through the economical use of funds.

It helps control the financial condition, solvency and creditworthiness of the enterprise.

There are many methods for calculating financial planning, but there are also general rules, principles that remain unchanged regardless of how the financial plan is drawn up.

This is important. Financial planning must be targeted, operational, real, managerial, collective, regulated, continuous, comprehensive, continuous, balanced, transparent for the management of the process. The costs of financial planning should not cover the effect of it.

Financial planning- a responsible process, so you can’t approach it formally.

During planning, it is necessary to draw conclusions regarding the causes of failures in work, to take these factors into account along with positive experience when drawing up financial plans for the next period.

Financial planning must be comprehensive in order to provide financial resources to various areas:

• innovation (that is, the development and implementation of new technologies that affect the maintenance of product competitiveness, the creation of new products, industries, etc.);
• supply and sales activities;
• production (operational) activities;
• organizational activities.

When drawing up financial plans, the following are used: information sources:

• accounting and financial reporting data;
• information on the implementation of financial plans in previous periods;
• agreements (contracts) concluded with consumers of products and suppliers of material resources;
• forecast calculations of sales volumes or product sales plans based on orders, demand forecasts, sales price levels and other characteristics of market conditions;
• economic standards approved by legislative acts (tax rates, tariffs for contributions to state social funds, depreciation rates, discount bank interest rate, minimum size monthly salary, etc.).

During planning, it is necessary, if possible, to take into account or analyze all factors: analytical materials, market trends, general political and economic situation, opinions of analysts and experts, moral and ethical standards, etc.

Should be analyzed as economic(Central Bank refinancing rate, exchange rates, rates on loans in local banks, the amount of available free funds, repayment terms of accounts payable and many others), and non-economic factors (possibility of collecting receivables, level of competition, changes in legislation, etc.). Before making a decision, it is important to evaluate all available alternatives. Moreover, for the accuracy of the plan, it is more expedient to evaluate not the strict value of the indicator, but the range of values. It is important to take into account possible force majeure situations.

Please note. Plans should be focused on achieving set goals (the basis of the plan is the real capabilities of the company, and not its current achievements).

For example, the company’s turnover currently amounts to 1,000,000 rubles, and if the existing shortcomings in the work are eliminated, the turnover can be relatively easily doubled. If in such a situation we base the plan on existing indicators, then we will not take into account the company’s potential (the financial plan will be ineffective).

The financial plan should (if not consider various options development of events) contain a certain strategy of action in the event of the most likely forecast situations. For example, a company uses conventional units in its calculations - US dollars. The company's management needs to imagine a strategy for action in the event of a sharp change in the dollar exchange rate and consolidate their ideas in financial terms so that their subordinates can imagine this strategy no less clearly.

When drawing up a plan, it is necessary to foresee the possibility of revising the planned indicators as they are achieved. One way to achieve flexibility in plans is to establish minimum, optimal and maximum results.

Please note. It is impossible to draw up a financial plan so that, in accordance with it, the company does not have a cash reserve.

Such a situation can lead to the fact that any force majeure, unplanned payment or delay in receipts can lead not only to the collapse of such a financial plan, but also the company itself. Still, it is easier to profitably invest excess funds than to find the missing ones.

When attracting additional financial resources, it is necessary to adhere to principle of conformity, that is, it is irrational to take out a short-term loan to purchase expensive equipment, knowing that during this period the company will not have free funds and will have to borrow money again to repay the loan.

Suppose a company needs funds to replenish inventory, the average implementation period of which is one month. In this case, it is unwise to take out a long-term loan and overpay for it.

Many people are mistaken in considering the company’s net or retained earnings to be some real assets that can be put into economic circulation. This is often far from the case. Therefore, when carrying out financial planning and determining the need for additional sources of financing, one cannot make a mistake when referring to such indicators as retained earnings and retained loss.

One of the planning stages is financial analysis, during which the solvency of the company is analyzed. A common mistake is that financiers include indicators in the plan, which they themselves criticize during the analysis of actual indicators. A situation often arises when low-liquidity and insolvent financial plans are created. To avoid this, you need to remember the indicators for assessing liquidity and solvency, and also focus on them when drawing up a financial plan.

Types of financial planning and financial plans

The time periods for which financial plans are drawn up may vary. Typically, financial plans are drawn up for some rounded period (month, quarter, half year, 9 months, 1–3 years or more). This tradition is due to the convenience of work: it is much better to draw up a plan and use it for a year than a year and 10 days.

Depending on the period for which the plan is drawn up, long-term, medium-term and short-term plans are distinguished (Table 1).

Table 1. Types of plans and their features
Type of financial plan	Name of planning	The period for which the financial plan was drawn up
Short	Operational
Medium term	Tactical
Long term	Strategic	over 3 years

This classification has its drawbacks. Medium-term financial plan we call it a plan drawn up 1–3 years in advance. But if you take a construction company, it turns out that the construction of one facility requires an average of 1–3 years. Therefore, a plan drawn up for three years (formally medium-term) will be for the company short-term. The time period for which the financial plan is drawn up is essential.

Financial plans can be main and auxiliary (functional, private). Supporting plans designed to ensure the drawing up of basic plans. For example, basic plan includes planned indicators of revenue, cost, tax payments and many others.

To bring all the indicators into one plan (the main one), it is necessary to first draw up a number of auxiliary plans for almost every indicator. You should plan the amount of revenue, cost and other indicators (only then can you bring everything together to obtain a basic plan).

Please note. Plans can be formed both for individual divisions of the company and for the entire company as a whole. The company's consolidated aggregate financial plan, which includes the main plans of individual divisions, will constitute the master financial plan.

Depending on the time of drawing up, financial plans can be:

• introductory (organizational) - formed on the date of organization of the company;
• current (operational) - compiled periodically throughout the entire operation of the company;
• anti-crisis;
• unification (connection, merger plans);
• dividing;
• liquidation.

Regarding anti-crisis, unifying (connecting),dividing, liquidation financial plans can easily be concluded that they are drawn up when the company is undergoing reorganization (rehabilitation) procedures, the organization is being merged, divided or is at the stage of liquidation.

The need to formulate an anti-crisis financial plan arises when the company is at the stage of obvious bankruptcy. With the help of an anti-crisis financial plan, you can determine what the company's real losses are, whether there are reserves to pay off accounts payable and what their estimated value is, as well as ways to get out of this situation.

Separating And unifying(connective, merger plans) financial plans can be called antipodean plans. Connecting(merger plans) and dividing financial plans are drawn up when one company merges with another or when a company is divided into several legal entities. That is, connecting (consolidation, merger plans) and separation plans are formed during the reorganization of a legal entity, which can be carried out in the form of a merger, accession, division, separation or transformation. Unifying(connection, merger plans) financial plans are drawn up when two or more companies merge (merge) into one or when one or more structural units are merged into a given company. Separating financial plans are drawn up at the time of division of a company into two or more companies or when one or more structural units of a given company are separated into another. Liquidation financial plans are drawn up at the time of liquidation of the company. The reasons for liquidation may be bankruptcy or closure due to reorganization.

EXAMPLE 1

Static LLC has drawn up a financial plan, which sets out certain target indicators. This financial plan does not provide for changes in indicators due to changes in any external or internal conditions. Such a financial plan will be static.

At Dynamics LLC, the financial plan contains various options for indicator values ​​depending on what situation will actually be realized. That is, with an increase in product sales by 20%, some indicators and a development option are planned, with an increase of over 40%, other indicators and a development option, etc. In fact, the dynamic financial plan of a given enterprise will represent a set of static financial plans.

Dynamic plans more informative, but they are more difficult to compose than static ones. If in static financial plans one version of the situation is developed, then in dynamic ones - two or more. Accordingly, the complexity and labor intensity of compilation increases proportionally.

Based on the volume of information, plans can be single or summary (consolidated). Unit plans display the strategy for one company. Summary (consolidated) plans represent an action strategy for an entire group of companies. Such financial plans are most often drawn up when it comes to a group of companies controlled by one person or group of people. According to the purposes of compilation financial plans can be divided into trial and final.

Trial Plans are compiled for the purpose of implementing control and analytical procedures. Trial plans are not distributed to interested users, as they are documents of internal control and analysis. Final plans are the official documents of a company and serve as a resource for various interested users to study its financial plans.

By usersfinancial plans may be:

• tax authorities;
• statistical authorities;
• creditors;
• investors;
• shareholders (founders), etc.

Depending on user information plans will be divided into plans submitted to fiscal authorities, statistical authorities, creditors, investors, shareholders (founders), etc. By nature of activity plans can be divided into plans for core and non-core activities. Previously main activity named the types of activities specified in the charter of the enterprise. But at present, such an approach is unwise. The distinction between main and non-core activities is possible based on revenue indicators.

EXAMPLE 2

Revenue from type of activity No. 1 - 18,000,000 thousand rubles, from type of activity No. 2 - more than 1,000,000 thousand rubles.

Revenue from activity No. 1 will account for more than 94% of total revenue (18,000,000 / (18,000,000 + 1,000,000)). The main activity for the company in this case will be activity No. 1.

At the same time, the distinction between main and non-core activities can be made on the basis of other indicators (in particular, the amount of income from various types of activities).

Let’s assume that the profit from activity No. 1, despite such serious indicators of gross revenue, is only 300,000 thousand rubles. , and from type of activity No. 2 - 800,000 thousand rubles. In this case, the main activity for the company will be activity No. 2.

Classification of activities into core and non-core is a rather subjective process and depends on the direction of the company’s management.

When planning long-term investments and sources of their financing, future cash flows are considered from the perspective of the time value of money based on the use of discounting methods to obtain comparable results.

Using a cash flow forecast, you can estimate how much of the latter needs to be invested in the economic activities of the organization, the synchronicity of the receipt and expenditure of finance, and also check the future liquidity of the enterprise.

The forecast of the balance of assets and liabilities (in the form of a balance sheet) at the end of the planned period reflects all changes in assets and liabilities as a result of planned activities and shows the state of the property and finances of the business entity. The purpose of developing a balance sheet forecast- determination of the necessary increase in certain types of assets, ensuring their internal balance, as well as the formation of an optimal capital structure that would ensure sufficient financial stability of the organization in the future.

Unlike the income statement forecast, the balance sheet forecast reflects a fixed, static picture of the financial balance of the enterprise. Exists several methods for preparing a balance sheet forecast:

1) methods based on the proportional dependence of indicators on sales volume;

2) methods using mathematical apparatus;

3) specialized methods.

The first of them is the assumption that balance sheet items that depend on sales volume (inventories, costs, fixed assets, accounts receivable, etc.) change in proportion to its change. This method is also called percentage of sales method.

Among the methods using mathematical apparatus, the following are widely used:

• simple linear regression method;
• nonlinear regression method;
• multiple regression method, etc.

Specialized methods include methods based on the development of separate forecast models for each variable. For example, accounts receivable are assessed based on the principle of optimizing payment discipline; the forecast of the value of fixed assets is based on the investment budget, etc.

EXAMPLE 3

Let's consider financial planning of profits using the direct method. The procedure of this method is based on the assumption that the change in the need for funds for the manufacture of products is proportional to the dynamics of sales. Let us illustrate the essence of the direct method of financial profit planning (Table 2).

Table 2. Income Statement
Indicator	During the reporting period	Forecast for next year(with an increase in sales volume by 1.5 times)
Revenue (net) from the sale of goods, products, works, services (less VAT, excise taxes and similar mandatory payments)		500 × 1.5 = 750
Cost of goods, products, works, services sold		400 × 1.5 = 600
Gross profit
Business expenses
Administrative expenses
Profit (loss) from sales
Interest receivable
Interest payable
Other income
Other expenses
Profit (loss) from financial and economic activities
Profit (loss) before tax
Income tax
Profit (loss) of the reporting period (net)

A 50% increase in sales volume affects many metrics. It is assumed that the cost of goods sold, as well as selling expenses, will change in direct proportion to the growth rate of sales, but interest on loans depends on the financial decisions made.

One of the planning documents developed by the organization as part of long-term planning is business plan. It is developed, as a rule, for 3–5 years (with a detailed study of the first year and an integrated forecast for subsequent periods) and reflects all aspects of the organization’s production, commercial and financial activities.

The most important part of a business plan is financial plan, summarizing the materials of all sections preceding it and presenting them in value terms. This section is necessary and important for businesses, as well as investors and creditors. After all, they must know the sources and amount of financial resources necessary to implement the project, the direction of use of funds, and the final financial results of their activities. Investors and creditors, in turn, must have an idea of ​​how cost-effectively their funds will be used, what is the payback period and return.

Current planning of financial activities is an integral part of the long-term plan; it is based on the developed financial strategy and financial policy for individual aspects of financial activity and represents a specification of its indicators. The specific types of current financial plans being developed enable the enterprise to determine for the coming period all sources of financing for its development, to form the structure of the company's income and costs, to ensure constant solvency, and to determine the structure of the company's assets and capital at the end of the planned period.

Current financial planning consists of developing three main documents:

Cash flow plan;

Profit and loss account plan;

Balance sheet plan.

The main purpose of these documents is to assess the financial position of the company at the end of the planning period. The current financial plan is created for a period of one year.

The annual financial plan is broken down quarterly or monthly, depending on the need for financial resources. A more specific plan allows you to more accurately coordinate cash flows, compare income and expenses, and eliminate cash gaps.

At the stage of creating an annual financial plan, the compliance of the enterprise’s capabilities for producing products and providing services with demand and supply in the market is established.

Current financial plans of the enterprise are developed based on data on:

Financial strategy of the company;

Results financial analysis for the past period;

Planned volumes of production and sales of products;

Other economic indicators of the company's operating activities.

Also, the plans being developed are influenced by current legislation, the taxation system and other external factors.

To draw up financial documents, it is important to determine the volume of future sales; usually this plan is drawn up at the stage of long-term financial planning.

Based on these data, it is calculated required quantity material and labor resources, and other component production costs are determined. And based on this data, a planned profit and loss report is developed. Using this report, the amount of profit that should be received in the billing period is predicted.

Currently, in medium and large enterprises, the method of planning costs by responsibility centers is widespread, when the head of each department is responsible for the costs of his department.

Next, a cash flow plan is developed. This plan takes into account all receipts and payments, costs and expenses, shows net cash flow, that is, an excess or deficit of funds for certain moment time. In fact, it shows the movement of cash flows from current, investing and financing activities. Separating the types of activities allows you to increase the efficiency of cash flow management.

The cash flow plan is drawn up for the year, broken down by quarter, and includes two main parts: receipts and expenses. These parts, in turn, are divided into expenses (income) by type of activity: current, investment and financial.

The final document of the current annual financial plan is the planned balance sheet of assets and liabilities at the end of the planned period. It shows the state of the property and finances of the enterprise as a result of the planned activities.

The purpose of developing a balance sheet is to form an optimal capital structure that ensures sufficient financial stability of the company in the future period.

As the activities laid down in the current financial plan are implemented, the actual results of the enterprise's activities are recorded.

Financial control is carried out by comparing actual indicators with planned ones.

Operational financial planning.

Operational financial planning is a logical continuation of current financial planning. It is carried out in order to control the receipt of actual revenue to the current account and the expenditure of the enterprise’s cash resources. Financing of planned activities should be carried out at the expense of funds earned by the enterprise, and this requires effective control over the formation and use of financial resources. An operational plan is essential to ensure the financial success of a business. It includes the preparation and execution of a payment calendar, cash plan and calculation of the need for a short-term loan.

In the process of compiling a payment calendar, the following tasks are solved:

1. organization of calculation of the temporary coincidence of cash receipts and upcoming expenses of the enterprise;

2. formation of an information base on the movement of cash inflows and outflows;

3. daily recording of all changes in the information base;

4. analysis of non-payments (by amounts and sources) and organization of measures to overcome and prevent them;

5. calculation of the need for a short-term loan in the event of a temporary discrepancy between cash receipts and liabilities, as well as the prompt acquisition of borrowed funds;

6. calculation of temporarily available funds of the enterprise, it is carried out according to amounts and terms;

7. analysis financial market from the position of the most reliable and profitable investment of temporarily free funds.

The payment calendar is compiled for a quarter, broken down into months and shorter periods. When implementing it, it is necessary to monitor the progress of production and sales, the state of inventories, and accounts receivable in order to prevent failure to fulfill financial obligations.

The main feature of a correctly composed payment is its balance. Such a calendar helps to identify financial mistakes, lack of funds, understand the reason for this situation, outline and implement appropriate measures, and thus avoid financial difficulties.

The payment calendar is compiled on the basis of the following documents:

Product sales plan;

Production cost estimates;

Capital Investment Plan;

Statements of the company's accounts and attachments to them;

Agreements;

Internal orders;

Salary payment schedule;

Invoices;

As well as established payment deadlines for financial obligations.

In many companies, along with a payment calendar, a tax calendar is compiled, as well as payment calendars for certain types of cash flows.

In addition to the payment calendar, the enterprise must draw up a cash plan - a cash turnover plan. This plan reflects the receipt and disbursement of cash through the cash register. It is necessary to control the receipt and expenditure of cash.

The bank servicing the enterprise also needs its cash plan in order to draw up a consolidated cash plan for servicing its clients on time. The cash plan is developed for the quarter.

The final stage of financial planning is the preparation of a summary analytical note. It describes the main indicators of the annual financial plan and draws conclusions about the planned provision of the enterprise with financial resources and the structure of their formation.

Current financial planning is implementation planning; it is considered as an integral part of the long-term plan and represents a specification of its indicators.
Current planning of the economic activity of an enterprise consists of developing a profit and loss plan, a cash flow plan, a planned balance sheet, since these forms of planning reflect financial goals organizations (enterprises). All three planning documents are based on the same source data and must correspond with each other.
Current financial plan documents are drawn up for a period of one year. This is explained by the fact that seasonal fluctuations in market conditions generally level out over the course of a year. Moreover, this period of time corresponds legal requirements to the reporting period. To ensure accuracy of the result, crushing is carried out planning period into smaller units of measurement: half a year or quarter.
Profit and loss plan. It is advisable to start developing a financial plan with a profit and loss plan, since, having data on the sales volume forecast, you can calculate the required amount of financial resources. This document shows the summarized results of current (economic) activities. Analysis of the ratio of income to expenses allows you to assess the reserves for increasing the equity capital of the enterprise. Another function performed by this document is the calculation of planned values ​​for various tax payments and dividends.
The development of a profit and loss plan occurs in several stages.
At the first stage, the planned amount of depreciation is calculated, since it is part of the cost and precedes the planned profit calculations.
At the second stage, the amount of costs is determined, which can be calculated in two ways:
- traditional;
- cost planning by responsibility centers.
In the first method (traditional), based on standards, a cost system is drawn up, which includes the main costs of raw materials (in accordance with technical requirements), direct costs for payment labor force(scientifically based basic wage rates) and overhead costs. Standard cost rates are developed based on a specific methodology. The level of accepted standards makes it possible to identify those areas of the enterprise that interfere with its effective functioning and prevent the production of competitive products.
In modern conditions, the process of cost planning by responsibility centers is becoming increasingly widespread.
The center of responsibility is each division of the enterprise (plant, department), the head of which is directly responsible for the costs of this division. This method allows for effective control by delegating responsibility to the level of individual departments.
Control and regulation are carried out on the basis of data on specific plans execution of production of goods (works, services) in a specific center of responsibility. These planned values ​​are called cost elements (or linear elements).
Planning by responsibility centers involves developing a cost matrix that shows three dimensions of cost information:
1) the size of the responsibility center (where this cost item arose);
2) the dimension of the production program (for what purpose did it arise);
3) dimension of the cost element (what type of resources were used).
When summing up the costs in the cells along the rows of the matrix, the result is planned data on commodity costs, which is necessary for determining the price and assessing the profitability of the production program.
Thus, the cost matrix contributes to:
- cost reduction, taking into account the responsibility for this of specific structural units and officials;
- control and reduction of deviations of actual costs from standard ones.
Such operational control cost control is a management tool at foreign enterprises and makes it possible to determine the cost of product sales as a basis for developing annual plans.
At the third stage, revenue from product sales is determined. Last year's sales revenue is taken as the starting point. This value changes in the current planning year as a result of changes in:
- cost of comparable products;
- prices for the company’s products sold;
- prices for purchased materials and components;
- assessment of fixed assets and capital investments of the enterprise;
- wages (due to possible inflation).
Statistical analysis can be used to assess the impact of these factors on last year's revenue.
At the stage of drawing up the annual financial plan, the compliance of the enterprise’s capabilities for producing products or providing services with demand and supply in the market is established. Thus, the marketing service develops a “Nomenclature” for each product that, in its opinion, should be put on the market.
Table 11.3. Profit and loss plan of enterprise N for 200...
Article Amount, thousand rubles.
1. Net sales proceeds (excluding VAT, excise taxes, customs duties) 320,800
2. Cost of products sold 147,820
3. Gross profit (page 1 - page 2) 172,980
4. Expenses related to core activities 60,450
5. Profit (loss) from sales (line 3 - line 4) 112,530
6. Operating income (less expenses) 10,460
7. Non-operating income (less expenses) 5,000
8. Profit before tax (line 5 + line 6 + line 7) 127,990
9. Income tax 38,397
10. Net profit (page 8 -¦ page 9) 89,593
11. Dividends 11,000
12. Retained earnings (line 10 - line 11) 78,593
buyer’s requirements”, which are sent to the enterprise management for preliminary approval. After management approval, the draft nomenclature plan is transferred to production department to determine the possibilities for producing the requested products based on existing production capacity, availability of equipment, qualifications and experience of workers, as well as determining the needs of raw materials. A necessary condition The development of the plan is to balance the production volume with the forecast for the volume of product sales. It is more expedient for an enterprise to use all production capacities and optimize the value inventories. This is an integral part of drawing up the annual production plan.
One of the possible forms of the profit and loss plan is presented in table. 11.3.
Cash flow plan. The next current financial planning document is the annual cash flow plan. It represents the actual financing plan, which is drawn up for the year, broken down by quarter. The annual cash flow plan is broken down quarterly or monthly, since during the year the need for cash can vary significantly and in any quarter (month) there may be a lack of financial resources. In addition, breaking the annual plan into short periods of time allows you to track the synchronization of cash inflows and outflows ( cash flow- cash flows) and eliminate cash gaps.
Need for preparation of this document is due to the fact that the concepts of “income” and “expenses” used in the profit plan do not directly reflect the actual cash flow: expenses for sold products do not always refer to the same time period in which the latter was shipped to the consumer (accrual method). In addition, the profit and loss plan lacks information about the areas of activity of the enterprise.
A cash flow plan can be drawn up using two methods: direct and indirect.
- The direct method is based on calculating the inflow (revenue from sales of products and other income; income from investment and financial activities) and outflow (payment of supplier bills, return of borrowed funds, etc.) of funds. In this way, balances are drawn up for three types of activity of the enterprise:
- main (current) activities;
- investment activities;
- financial activities.
After this, the final cash flow balance is calculated. The initial element of the direct method is revenue. Let us consider in more detail the cash flow for each type of activity of the organization (enterprise).
1. Cash flow in connection with the main (current) activities reflects the inflow and outflow of these funds in transactions that provide net income from the main activity. The main activity involves the receipt and use of funds to ensure the implementation of the main production and commercial functions of the enterprise. The main activity should be the main source of cash as it is the main source of profit.
The most typical sources of cash in this section are:
- revenue from sales of products (works, services);
- increase in stable liabilities (funds equivalent to own funds);
- budget allocations, etc.
Typical areas of cash expenditures related to this section are:
- wages workers;
- payment of taxes;
- payment of interest on loans and borrowings;
- purchase of raw materials, materials that will be used in the production process, etc.
The difference between the amounts of the above cash receipts and their expenses is called net cash inflow (outflow) in connection with the main (current) activities of the enterprise.
2. Cash flows in connection with investing activities are due to the acquisition, construction (outflow) and sale (inflow) of fixed assets and other long-term assets. As a rule, a normally functioning enterprise strives to expand and modernize production facilities. In this regard, investment activities in general lead to a temporary outflow of funds.
Funds come from:
- planned write-off (by sale) of buildings, equipment, income that will be received from securities owned by the enterprise;
- profits from equity participation in the activities of other enterprises;
- savings for construction and installation work carried out in an economic way, etc.
Funds are spent on:
- acquisition and construction of buildings and equipment;
- investments in shares and long-term liabilities of other enterprises;
- acquisition of intangible assets used in core activities;
- carrying out R&D, etc.
The difference between receipts and expenditures of funds within this section is called the net inflow (outflow) of funds in connection with investing activities.
3. Cash flows in connection with financing activities reflect the raising of long-term capital in the form of cash to finance the activities of the enterprise (inflow) and payments to holders of its securities (outflow).
Financial activities should contribute to the growth of funds at the disposal of the enterprise for financial support of core and investment activities.
Enterprises solve financing problems by using the most wide range instruments - from the placement of securities (bonds, preferred and ordinary shares) to bank loans and leasing, which is reflected in the sources of income in this section.
Cash outflows from financing activities consist of payments to shareholders in the form of dividends, as well as payments for shares they repurchase, and to the company's creditors in the form of principal payments. It should be borne in mind that in international accounting practice, the payment of interest on debt (interest on loans and borrowings, interest on bonds) refers to cash flows in connection with core activities.
The difference between the cash inflows and outflows of this section is called the net cash inflow (outflow) in connection with financing activities.
An approximate form of an enterprise's cash flow plan, compiled on the basis of the direct method, is presented in table. 11.4.
Table 11.4. JSC cash flow plan for 200...
Sections and articles Amount,
plan thousand rubles
1 2
I. Receipts (cash inflows)
A. From current activities
1. Revenue from sales of products (excluding VAT, excise taxes and
customs duties) 30,500
2. Other income:
2.1. Means targeted financing 20
2.2. Receipts from parents for the maintenance of preschools
institutions 30
2.3. Increase in sustainable liabilities 45
Total for section A 30,595
B. From investment activities
1. Revenue from other sales (excluding VAT) 10,200
2. Income from non-operating operations 6,000
3. Savings for construction and installation work, you
refillable in an economic way 300
4. Funds received through equity participation in
housing construction 520
Total for section B 17,020
B. From financial activities
1. Increase in the authorized capital (issue of new shares) -
2. Increase in debt:
2.1. Obtaining new loans, credits 2,941
2.2. Bond issue -
2.3. Issue of bills -
Total for section B 2,941
Total receipts 50,556
1 2
II. Expenses (cash outflow)
A. For current activities
1. Costs of production of sold products
(excluding depreciation and taxes attributable to
for production cost) 18,631
2. Payments to the budget:
2.1. Taxes included in the cost of production 410
2.2. Income tax 2,748
2.3. Taxes paid from profits remaining
at the disposal of the enterprise 700
2.4. Taxes attributable to financial result 800
2.5. Tax on other income 225
3. Payments from the consumption fund (material assistance, etc.) 1,627
4. Increase in own working capital 1,900
5. Payment of interest on a long-term loan 200
6. Payment of interest on bonds 27,041
Total for section A
B. For investment activities
1. Investments in fixed assets and intangibles
assets
1.1. Capital investments industrial purposes 6 000
1.2. Capital investments for non-production purposes 3,720
2. R&D costs 150
3. Long-term financial investments
4. Expenses on other sales 6,100
5. Expenses on non-operating operations 4,500
6. Maintenance of social facilities 895
7. Other expenses -
Total for section B 21,365
B. For financial activities
1. Repayment of long-term loans -
2. Redemption of bonds -
3. Short-term financial investments -
4. Payment of dividends 650
5. Contributions to the reserve fund 1,500
6. Other expenses -
Total for section B 2,150
Total expenses 50,556
1 2
Excess of income over expenses (+) -
Excess of expenses over income () -
Balance of current activities +3,554
Balance on investment activities4 345
Balance on financial activities +791
The cash flow plan reflects the inflows and outflows of cash from current, investing and financing activities that are expected to be received during the year or quarter.
It should be borne in mind that value added tax and excise taxes are not reflected in the cash flow plan, since they are levied before profit is generated.
The balance for each type of activity is formed as the difference in the total values ​​of sections A, B, C of the revenue part of the plan and the corresponding sections of the expenditure part.
Using this form of plan, an organization (enterprise) can check the reality of sources of funds and the validity of expenses, the synchronicity of their occurrence, and determine the possible amount of need for borrowed funds. Thanks to this construction of the cash flow plan, planning covers the entire cash flow of the enterprise. This makes it possible to analyze and evaluate cash receipts and expenditures and make decisions on possible ways financing in case of a shortage of funds.
The plan is considered finalized if it provides sources for covering the deficit.
- The indirect method is based on the sequential adjustment of net profit in connection with changes in the assets of the enterprise. The starting element of the indirect method is profit.
When calculating the amount of cash flows using the indirect method, you can use the following scheme:
I. Cash flows from operating activities
1. Net profit
2. Depreciation charges (+)
3. Increase () or decrease (+) in accounts receivable
4. Increase () or decrease (+) of inventories and other current assets
5. Increase (+) or decrease () accounts payable and
other current liabilities (except for bank loans)
Total: balance on current activities
II. Cash flows from investing activities
1. Increase () fixed assets and unfinished capital investments
2. Increase () long-term financial investments
3. Profit (+) from the sale of long-term assets Total: balance on investment activities
III. Cash flows from financing activities
1. Increase (+) equity capital by issuing new shares
2. Reduction () of equity capital due to the payment of dividends and repurchase of shares
3. Increase (+) or decrease () of credits, loans, bonds
loans, bills Total: balance on financial activities
The total change in cash must be equal to the increase (decrease) in the cash balance between the two planning periods.
The advantage of the direct method is the direct calculation and coverage of the entire cash flow. However, calculations using the indirect method more fully show the relationship between cash flow and the economic activity of the enterprise as a whole; reveal the relationship between the profit and loss plan and the cash flow plan.
Planned balance. The final document of the financial plan is the planned balance sheet at the end of the planned year, which reflects all changes in assets and liabilities as a result of planned activities and shows the state of property and finances of enterprises.
Usually current planning balance sheet begins with asset planning.
Data on changes in material assets are taken from the long-term plan, financial assets- from a long-term financing plan. The size of inventories is determined from production, supply, and sales programs. Other items of normalized working capital are planned based on past experience and in accordance with the financial plan. The basis for planning the cost of fixed assets are investment projects.
In the liability side of the balance sheet, the change in equity capital is calculated based on the possibility of increasing (decreasing) capital at the time of drawing up the plan and changing the reserve capital formed in accordance with the law and constituent documents. The amount of required borrowed capital is obtained as the difference between the balance sheet asset and equity capital.
The balance sheet is formed on the basis of planned changes in the items of the planned balance sheet of the previous year, as well as the profit and loss plan. It is necessary to regroup the asset and liability items of the planned balance sheet based on the use of funds ( left side) and their origin (right side) according to the diagram below:
Use of funds
I. Increase in asset
1. Investments in fixed assets, intangible assets, financial investments
2. Increase in working capital
II. Decrease in liability
1. Repayment of loans, loans
2. Reduction of equity capital: distribution of profits to the consumption fund, payment of dividends, interest on bonds, losses
Sources of funds
I. Decrease in asset
1. In the field of fixed assets
2. In the field of working capital
II. Increase in liability
1. Obtaining credits and loans
2. Issue of bonds
3. Increasing equity capital: issuing new shares, increasing reserves and funds from profits
To organize a system for analyzing and planning cash flows at an enterprise, it is recommended to create modern system financial management based on development and control
execution of the enterprise budget system. The budget system includes the following functional budgets: wage fund budget, budget material costs, energy consumption budget, depreciation budget, other expenses budget, loan repayment budget, tax budget.
This budget system completely covers the entire base of financial calculations of the enterprise and is the basis for constructing documents: profit and loss plan, cash flow plan and planned balance sheet.
As the activities laid down in the current financial plan are implemented, the actual results of the enterprise's activities are recorded. In this case, the plan is the result of planning, while the report on actual values ​​shows the real position of the enterprise, which is necessary for its management to make decisions.
As a result of comparing actual indicators with planned ones, financial control is carried out. When carrying it out, special attention should be paid to the following points:
- implementation of the articles of the current financial plan to identify deviations and reasons that signal an improvement or deterioration in the financial condition of the enterprise and the need for its management to respond to this;
- determining the growth rate of income and expenses for last year to identify trends in the movement of financial resources;
- the availability of material and financial resources, the state of production assets at the beginning of the next planning year to justify their initial level.
One can also imagine a situation where it turns out that the financial plan itself was drawn up on the basis of unrealistic starting points. In any case, the management of the enterprise must take the necessary actions: change the way the plan is implemented or revise the provisions on which the current financial planning documents are based.