Wine Industry Cash Flow Forecasting

The Wine Industry already has enough built-in risks. Operating without a solid, integrated financial forecasting model doesn’t need to be one of them.

The BPM Wine Industry Cash Flow Forecasting model takes all of the information that an owner or manager lives and breathes every day, and creates from that integrated projected financial statements and other key metrics and indicators. This is more than a budget, but an operational tool that is used throughout the year to gauge performance and offer more information with which both tactical and strategic decisions can be made.

Whether you are just starting, contemplating a growth strategy or trying to maximize returns, it is critical to understand and quantify the drivers of the business. It is also imperative that you stay in front of how your operational plan might impact future profits, cash, and bank covenants. Many owners have experienced periods of increased sales and decreased cash – this is both common, and predictable. With the right planning model and process, these periods can be foreseen and managed – before it’s too late.

Our planning process starts from the ground up, literally. Grape sources can be planned individually, whether estate vineyards, grape contracts, or juice purchased on the spot market. The same process holds for specific wine labels, where the planning for each includes sourcing, packaging, pricing, channels, and timing of production, release and sell-through.  

BPM will create a model that is customized to your operations and the way that you want to see the data. The result is an actionable level of reporting, including inventory costing, contribution margins, and specific analyses by label, brand, channel, department, etc. Results are projected monthly, quarterly and annually for 10 years, and provides that data needed to reduce the risk of the unknown.

BPM Business Consultants are experienced in assisting clients from start-up to wind-down, in topics from growth strategy to turnaround management. To get started or to ask questions, contact:

Steve Jannicelli, CPA, MBA

Sr. Manager, Consulting Group
BPM | Accountants and Consultants
(707) 524-6560
sjannicelli@bpmcpa.com
http://www.bpmcpa.com/People/SteveJannicelli.asp