Preparing financials for investor, lender or board conversations
Outside parties look at the same core numbers but ask different questions. Preparing a consistent, well-explained package ahead of time makes these conversations easier.
What most will ask for
Monthly profit and loss, balance sheet and cash flow, usually for at least the past year, plus a forecast. Clean, closed monthly books are the foundation.
Different audiences, different focus
Investors often focus on growth, margins and how capital will be used. Lenders focus on cash flow, debt coverage and collateral. Boards want trends against plan and the key risks.
Explain the numbers
A short narrative covering what changed, why, and what you expect next often matters as much as the numbers. Consistent definitions month to month build trust.
What to prepare
- Months of closed financials available
- Forecast with clear assumptions
- Consistent metric definitions
- A short written narrative
Free Sam's List diagnostic
Take the free Founder Finance Clarity Review. Built by Sam's List. Related Sam's List profile: Purewater Financial.
Browse the directory
Frequently asked questions
Do lenders require accrual-basis financials?
Requirements vary by lender. Many prefer accrual-basis statements for businesses of some size; ask your lender.
Is this founder finance guide advice?
No. Sam's List writes these guides for education. They describe common questions and processes, not advice for your specific situation.
Sam's List is a directory. Listing or paid status does not imply endorsement or ranking.