Introduction
Package your financials like a pro: P&L, Balance Sheet, Cash Flow, AR/AP aging, tax returns, and narrative.
Why this matters
Lenders don’t fund ideas—they fund systems. If your books read like a story lenders can follow, you reduce risk and increase the odds of approval (SBA or conventional).
The 90-Day Plan
Days 1–30: Clean & Standardize
- Reconcile: All bank/credit cards for the last 12 months.
- Chart of Accounts: Remove duplicates, standardize COGS vs. OpEx, map to tax lines.
- Accrual Adjustments: Record AR/AP, payroll accruals, deferred revenue if applicable.
- Owner Add-backs: Identify discretionary expenses to reveal normalized EBITDA.
Deliverables: Clean YTD P&L, Balance Sheet, and a Month-End Close Checklist.
Days 31–60: Prove Operating Discipline
- Close Calendar: Close by the 10th each month, same steps every time.
- AR/AP Hygiene: Create aging reports and a collections rhythm.
- Inventory/Job Costing (if applicable): Tie purchases to projects/SKUs.
- KPIs: Gross margin, operating margin, cash burn, runway, revenue per FTE.
Deliverables: Three consecutive on-time closes, KPI dashboard, AR/AP aging.
Days 61–90: Tell the Cash Story
- 12-Month Cash Forecast: Start with revenue plan → collections → disbursements.
- Scenario Model: Base / Stretch / Downside (assumptions clearly labeled).
- Debt Service Coverage Ratio (DSCR): Target ≥ 1.25x (Net Operating Income ÷ Debt Service).
- Use of Funds: Exactly how new capital will turn into revenue and cash.
Deliverables: Forecast workbook, DSCR worksheet, one-page Financial Narrative.
The Lender-Ready Package (PDF)
- Executive Summary (what we do, why we win, use of funds)
- P&L, Balance Sheet, Cash Flow (YTD + prior year)
- AR/AP Aging + 12-Month Cash Forecast
- Tax Returns (2 years) + Entity docs
- Add-backs schedule + DSCR calc
- Proof of month-end discipline (close checklist)
Next step: Want us to run the 90-day sprint with you? Book a consult and we’ll map it to your exact lender’s checklist.
