MODEL OVERVIEW
 
Highly versatile and user-friendly Excel model for the preparation a of a real estate private equity fund three statement (Income Statement, Balance Sheet and Cash flow Statement) financial projection with a monthly timeline of up to 10 years. The model includes calculations for the distribution of funds between the Limited Partner (‘LP’) and General Partner (‘GP’) with waterfall assumptions including equity contribution splits, LP hurdle rates, GP catch up provisions and carried interest.
 
The model is highly flexible enabling the user to model up to 30 different property investments generating rental income, other income, realised and un/realised gains and losses. It also enables the user to model other financial instruments (money market, bonds, equities, alternatives etc), transaction fees, asset management fees, staff costs, operating expenses, fixed assets and borrowings.
 
 
KEY OUTPUTS
 
Projected full financial statements (Income Statement, Balance Sheet and Cash flow Statement) presented on a monthly basis across up 8 years and summarised on an annual basis.
Dashboard with:
Summarised projected Income Statement and Balance Sheet;
List of key ratios including average investment return, average profit margins, average return on assets and equity and average debt to equity ratio;
Bar charts summarising income statement and Balance Sheet projections;
Waterfall of fund distributions
IRR on total fund basis and for GP and LP
IRR and net cash flows by property investment
Multiples of invested capital (MOIC)
Charts presenting total assets under management, NAV plus distributions, investment income and cumulative investment return by month
 
 
KEY INPUTS
 
Setup Inputs:
Name of business;
Currency;
First projection year and month;
Naming for property investments, financial investments, staff costs, other expenses, financial investments, fixed assets and borrowings.
 
Projection Inputs:
Real Estate Investments:
Acquisition month and holding period
Development costs
Rent per month and occupancy
Direct expenses per property investment
Value appreciation
Transaction costs
Loan portion and interest rate
Financial Investment Assumptions
Investment Return per Annum;
Target Cash Balances;
Investment Allocation percentages;
Transaction cost %;
Other cost inputs including
Staff costs;
Other operating costs;
Corporate tax inputs including rate and payment periods;
Fixed Assets including addition amounts and useful life;
Capital contributions and distributions;
Distribution waterfall assumptions:
GP and LP equity contribution splits
LP hurdle rates
GP catch up provisions and carried interest
GP and LP excess return splits
 
 
MODEL STRUCTURE
 
The model comprises of 7 tabs split into input ('i_'), calculation ('c_'), output ('o_’) and system tabs. The tabs to be populated by the user are the input tabs ('i_Setup' and 'i_Assumptions'). The calculation tab uses the user-defined inputs to calculate and produce the projection outputs which are presented in 'o_Fin Stats' and ‘o_Dashboard’ tabs.
 
 
KEY FEATURES
 
The model follows best practice financial modelling guidelines and includes instructions, checks and input validations;
The model is not password protected and can be modified as required following download;
The model includes an 10-year timeline split on a monthly basis and summarised on an annual basis;
The model allows for the following number of underlying categories for each line item (these can be easily expanded if required):
Property investments – 30 investments
Financial Investments – 5 categories
Staff costs – 8 categories;
Other expenses – 15 categories;
Fixed Assets – 5 categories;
Borrowings – 3 facilities;
Apart from projecting revenue and costs the model includes the possibility to model, financial investments, fixed assets, borrowings, corporate tax and distribution waterfall.
Fund details, currency, starting projection period are fully customisable;
Revenue, cost, fixed asset and Borrowing category descriptions are fully customisable;
The model includes instructions, checks and input validations to help ensure input fields are populated accurately;
The model includes a checks dashboard which summarises all the checks included in the various tabs making it easier to identify any errors.
 
 
SUPPORT / MODIFICATIONS
 
We are keen to ensure our customers are satisfied and find the models useful for their financial projection needs. Our models are developed with the user in mind and include instructions, line-item explanations, checks and input validations to ensure they are as user-friendly and easy to use as possible without requiring extensive knowledge of Microsoft Excel, finance or accounting. If any questions do arise, we are more than happy to assist. We are also happy to support with any be-spoke modifications you may require to the models to better suit your business needs. To get in touch, please send us a message through the website or contact us on: hello@useprojectify.com
 
We are also always keen to receive feedback so please do let us know what you think of our models by sending us a message or submitting a review.