Score Each Area

Select the statement that best describes your current state.

1. Cash Visibility

You know the bank balance, roughly. Anything past payroll is a guess.

Cash gets tracked weekly, but the forward view is a stale spreadsheet nobody fully trusts.

Rolling 13-week cash forecast, refreshed at least monthly, and it drives timing decisions.

2. Margin Clarity

One blended margin for the whole company, reviewed at tax time.

Segment margins get estimated occasionally, but allocations are rough and nobody acts on them.

Gross and net margin by product, service, or segment, updated monthly and used in pricing calls.

3. Forecast Quality

No forward P&L. Planning happens off the bank balance and instinct.

A forecast exists, but it is outdated and actuals never get compared against it.

A 12-month forecast tied to actuals, re-forecast quarterly or better.

4. Decision Readiness

“Can we afford this hire?” is a gut call. The model to answer it does not exist.

Someone builds a one-off spreadsheet each time; it takes days and versions conflict.

The scenario runs in an existing model and the answer is a number within a day.

5. Close Speed

Books close three or more weeks out, or “close” is not really a process.

Close lands in 2 to 3 weeks and numbers still shift after the fact.

Closed, reconciled, and reviewed within 10 days, every month.

6. Budget Discipline

No annual budget, or it was written once and never opened again.

A budget exists; comparisons to actuals happen sporadically, without follow-through.

Monthly budget-versus-actuals review with variances explained and acted on.

7. Scenario Planning

A 20% revenue drop has never been modeled. The honest answer is “we would figure it out.”

Discussed in broad strokes; no numbers behind the plan.

The downside case is modeled: you know the cash impact, the trigger points, and the cut list.

8. Pricing Confidence

Prices match competitors or history; cost data does not enter the decision.

Costs get referenced, but loaded costs and target margins are not defined per offering.

Pricing is set from loaded cost and target margin, and revisited on a schedule.

9. Debt and Working Capital

Terms were signed and forgotten; no view of leverage capacity or covenant headroom.

You know the balances, but terms have not been shopped and working capital is not managed deliberately.

Terms reviewed within the last year, covenants tracked, AR, AP, and inventory managed to targets.

10. Confidence Under Stress

If your largest customer cut spend 30%, you have no idea what runway looks like.

A rough guess exists, made under no pressure and never written down.

You could state the runway number today, because the scenario is already in the model.

Financial Health Scorecard