The Financials tab is where you type your financial projections by hand: 1 column per year, 1 row per line item. You fill in the input rows and Equidam calculates the other rows when you save. The rule that matters most: the last column needs revenue above zero and at least 1 cost above zero, or the tab will not save.
How the year columns work
A new company starts with 4 columns: 1 labelled Past year and 3 labelled Forecasts. Each header shows the 12 months the column covers. The Past year column ends just before the date in the Valuation Date field, and each forecast column follows the one to its left.
Adding and removing forecast years
Click Add new at the right of the table to add a forecast year at the end. A Remove link appears above the last column once the table has at least 5 columns, so you cannot go below 3 forecast years. Removing a forecast year does not delete its stored data; add the year back and its numbers return.
Adding past years
Click + Add Past Year at the left of the table to add a historical year further back, up to 10. The Remove link above the leftmost past year removes the oldest past year.
On save, Equidam calculates EBITDA, EBIT and Net profit for each past year that has revenue. Working Capital and Change in Working Capital are also calculated. Change in outstanding debt, Free cash flow to equity and Free Cash Flow stay empty for past years.
Past years do not change your valuation; the valuation calculations do not read them. They appear in the valuation report's profit and loss and cash flow tables.
What each row means
Input rows, filled in for every year:
Revenue / ARR: yearly revenue. Subscription businesses enter Annual Recurring Revenue (ARR).
Cost of goods sold: costs that grow with sales, such as raw materials or server hosting.
Salaries: payroll and contractor wages, including taxes and directly linked costs.
Other operating expenses: fixed costs such as rent, marketing and software.
Capital expenditures: spending that creates an asset, such as a building or a patent.
Debt at the end of the year: debt due in more than 1 year, reduced each year by what you repay. In the Past year column it mirrors Debt due beyond one year time in the balance sheet.
Future fundraising: equity you plan to raise later. The current round belongs in the Funding tab. This row does not affect the current valuation.
Rows Equidam pre-fills, which you can override:
D&A: depreciation and amortisation, the yearly loss in value of your assets.
Interest: interest paid on debt.
Taxes: taxes paid in cash, by default (EBIT minus Interest) times your country's tax rate.
Receivables, Inventory and Payables: revenue not yet cashed, products not yet sold and costs not yet paid.
The defaults for D&A, Receivables, Inventory and Payables are revenue times an industry average percentage. With Input Level set to Basic, you can edit these 6 rows only in the Past year column; Advanced lets you type forecast values.
Calculated rows, which refresh when you save:
EBITDA (earnings before interest, taxes, depreciation and amortisation) = Revenue - Cost of goods sold - Salaries - Other operating expenses.
EBIT (earnings before interest and taxes) = EBITDA - D&A.
Net profit = EBIT - Interest - Taxes.
Working Capital = Receivables + Inventory - Payables. Change in Working Capital and Change in outstanding debt are this year's working capital or debt minus last year's.
Free cash flow to equity = Net profit + D&A - Change in Working Capital - Capital expenditures + Change in outstanding debt.
Free Cash Flow = Free cash flow to equity + Future fundraising.
Getting help on a single row
Click any row label to open a side panel for that row. It explains the row and, where Equidam fills it, how Equidam computes it. The Help With Financials button at the top of the tab opens projection templates, guides and a way to reach an advisor.
Limits
The Financials tab is available on the free plan and on paid plans.
A save fails with "Final year Revenue cannot be empty" when the last column has no revenue above zero.
A save fails with "Final year costs cannot all be zero" when Cost of goods sold, Salaries and Other operating expenses are all zero or blank in the last column. Cost of goods sold alone can stay at zero.
Past years: up to 10. Forecast years: at least 3.
Excel import has its own article.
Common questions
Why is the first column called Past year when I added no past years?
It is the 12 months before your valuation date. The + Add Past Year button adds older years to its left.
How many forecast years should I enter?
Equidam treats the last year as the point where your company turns a positive cash flow, so add years until the last column shows revenue and costs.
Can I import my numbers instead of typing them?
Yes. The spreadsheet icon in the Financials toolbar opens the Excel import, which also reads past years.