Pro Forma Financial Statements - Consulting & Production


A pro forma financial presentation is an estimate of the operating and non-operating cash flows of a business based upon an assumed set of circumstances which are empirical in nature (hence the term, "empirical assumptions").  A set of circumstances are assumed to exist at each stage of the reporting from pre-construction, through construction and then the remaining balance is usually devoted to operations.  Looking at it from a commercial real estate development financing prospective, the pro forma financial presentation is the second step in the overall due diligence process.

The first step is the market feasibility study because the success (or failure) of a business enterprise in market capitalism is based upon the expectations of consumers within a defined geographical area and industry.  That's a pretty fancy way of saying that since consumers pick the winners and losers in business by virtue of their wallets (and where they spend that cake), so the first step is to find out what consumers want - hence the market feasibility study.  But the market feasibility study goes a bit further than that because the study will tell the developer what revenues the project is likely to generate.  Once you know how much revenue is available, the size and scope of the project is limited to that the revenue stream will support.

The market study provides the critical information that is then "translated" into the financial results of the ongoing operations.  Once the ongoing operations are understood, the capital financing plan is created and then a consolidation can be done.

Doesn't this just make your head spin with excitement?  Me neither.  

The reality is that Rainmaker can take the guess work out of a ton of due diligence reporting for you exclusive benefit, so stop stumbling around and pick up the phone and call us.


About Rainmaker Marketing Corporation...

Rainmaker Marketing Corporation is a consulting firm that focuses on providing the due diligence services on a business to business (B2B) basis.  Rainmaker Marketing Corporation can trace its roots back to the late '80's and was formally incorporated in 1994.

Over the years, Rainmaker Marketing Corporation consultants have completed hundreds of assignments across the United States (45 states), Mexico, Canada and the Caribbean Basin.  RMC's new construction project due diligence documentation services have led to the successful development of income-producing properties valued (in the aggregate) in the billions of dollars.

Take a few minutes and learn more about RMC.  This website is designed to provide a wealth of planning information pertaining to the capitalization, operations, and organizational program tenets today's savvy entrepreneurial company must embrace for continued growth and success...

Find out more information by giving us a call.  The first consultation is always without charge.


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General Information & Consulting Queries: clint@rainmakermarketing.com 

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