Recycling Business: 10 Year Pro Forma and DCF Analysis
Video Tutorial:
Recycling is a great way to improve your environment. If you can build a business around this, even better. This 10-year financial model is designed for users to plan out the expected startup costs and operating income for a recycling business. Features include a DCF Analysis, IRR, and 10-year pro forma as well as key metric visualizations.
The user starts off defining the expected start year and potential exit month as well as any financing. The main driver of this model is the materials tab, which was built to make an easy configuration for the expected units being recycled over time as well as their acquisition cost if any and selling price. For strategy purposes, there is a start month that can be defined for each of the 15 potential materials that you are planning on recycling. The units sold by month is a configuration in each of the 10 years for each material type.
The next part of this model is operational expenses. These are the costs you will have when operating under normal circumstances. Things like rent, legal, utilities, and payroll would be examples of fixed costs included in this area. A start month can also be defined for each of these opex slots (up to 50). One time startup and capex items are defined separately.
The executive summary displays the annual results of all the assumptions in a pro forma format and includes cash flow, IRR, ROI, NPV, and capital requirements. There is a monthly and annual pro forma detail that shows the granularity of each of the assumptions.
Lots of visualizations are included as well.
