Manage your finances consciously

October 15, 2018

It’s a case when the owner of a business is convinced by his own experience of the necessity of a financial model for a successful conduct of business and conscious management of it.

Mr. X, the co-founder of a growing financial company, asked for help in creating a financial model. However, he did not hide his frivolous skepticism about financial models as a whole, explaining his motivation was simply a desire to use a tool commonly used by others. He was curious how it worked nonetheless.

Despite our clients’ flippant attitude, we acquiesced. Our goal was not only to create the tool and train in its use but also to show real measurable benefits of the financial model to our client.

In time, he provided all the necessary information including the company’s strategy, structure, and existing processes. Afterward, we discussed the year’s goals and verified the client’s expectations. During the conversation, it was clear that the client had the common problem of ‘cash gaps’, experienced by many companies.

We organized a Skype meeting, where we discussed the next steps. Regarding analysis about the company’s activities and bottlenecks in financial management, we created a ‘skeleton’ model, modeled the Profit & Loss report, the balance sheet and the cash flow report. The Cash Flow analysis revealed possible solutions regarding the cash gaps.

According to IRR and NPV calculations of products, we identified the most profitable product. In addition, we determined an opportunity to create a product that will help reduce the cash gap, due to its characteristics (the time, price) and increase the liquidity of the company.

Having voiced several versions of the model and ideas for its implementation, it became clear that Mr. X is interested in the conversation, and his initial interest was replaced by involvement in the process. He began to ask questions about running the business under different scenarios.

Interest and consciousness! That’s the driver in obtaining and applying many tools for business management, including the financial model.

It was time for the final stage. Once the model was ready, the last step was to introduce it to the client and explain its use. We provided the client with a cash management tool as a solution to the cash gap problem.

The meeting should have taken no more than an hour. Eventually, the conversation continued more than four hours. Not in vain! Because from that moment, there is one more owner, who is now consciously managing his business!

At the end of the meeting, Mr. X exclaimed: ‘Now I understand! The model opened my eyes to many things. Now there is a clear and transparent understanding of how to move forward!!!’ – and it’s worth a lot!

A year passed (it was a short-term forecast model ).

‘I’ve been using a financial model for a year now, a cool thing, it helps me a lot at my work, but here’s the question: the model is made for a year, could you extend it?’, Mr. X

These words confirm the importance of a financial model in business management. After all, a business can always be ‘sorted out’ to understand the levers, allowing enjoyment of competent and sound management of your company once you understand the causes and consequences!

Yes, of course, a year later, we worked on the model again, so that it would continue to be an important tool and an integral part of business management when making critical decisions. At the request of the client, it has become a long-term model.


We are always here for you, even in a year, any time, we will help you make your business run like clockwork!

Every client is unique and important to us. Unicorn Solutions & Consulting strive for 100% customer satisfaction by providing our quality assurance solutions to help companies develop their business and make their dream a reality.

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