Category Archives: %s

Don’t overstate your project returns!

With every new company I visit, I’m always surprised by how much debate NPV/DCF models generate. What time period to do we use? What costs should be included, and what costs should be excluded? Should we include tax and depreciation or just look at EBITDA? The most common issue I Read More

How to budget depreciation

Poor depreciation. It just doesn’t get any love during budget season. People will often”80/20″ it by using the prior year’s run rate plus or minus a little bit, or by setting it as a % of sales. However at many companies, depreciation is one of the biggest expenses; trumped only by Read More

A Capital Idea!

Ah the ubiquitous NPV model… For an FP&A professional, few projects are as exciting (or as daunting) as this. This is an opportunity to add value, to create, and to drive decision making in the business. But at the same time, the job at hand is not as clear and Read More