Pro Forma Templates, Examples and Software

A simple pro forma example is a forward-looking income statement for a business opening a second location. The model starts with operating assumptions, not a copied profit target. Suppose the new site expects 2,000 monthly transactions at an average sale of £18, with a 60% gross margin and £14,000 of monthly fixed costs.

Revenue = 2,000 × £18 = £36,000
Gross profit = £36,000 × 60% = £21,600
Operating profit = £21,600 − £14,000 = £7,600

A useful pro forma would extend this calculation across the forecast period and show the effects of seasonality, opening delays, staff recruitment, working capital, capital expenditure and financing. It might include:

• a base case using the most supportable assumptions;
• an upside case with stronger volumes or pricing;
• a downside case with a slower ramp-up; and
• checks that profit, cash flow and the balance sheet remain consistent.

The completed output should distinguish assumptions from formulas and actual results from forecasts. It should also make clear that £7,600 is an estimate under a stated case—not a guaranteed monthly profit.

Different decisions require different examples. A lender may need a linked three-statement pro forma, while a start-up may focus on runway and funding in the start-up financial model. Browse the broader pro forma library for structures, but replace every illustrative number with sourced assumptions and test how the model behaves before relying on it.

You can find downloadable pro forma models in Finamodel’s pro forma template library. It includes statement-specific and integrated models, while the wider template catalogue covers forecasting, valuation, transactions and industry applications. Populated model examples are useful when you want to see how a finished structure behaves before building your own.

Choose a template according to the decision rather than its appearance:

Before adapting a workbook, confirm its forecast frequency, time horizon, currency, accounting basis and outputs. Review the assumptions, calculation sheets, statement links and controls. A beautifully formatted annual template will not answer a weekly liquidity question, and a property pro forma will not automatically suit a SaaS business.

Most importantly, a template supplies structure—not facts. Do not copy its revenue, margins, tax rates or growth assumptions. Replace them with evidence relevant to the business, reconcile opening balances and test every material formula. Preserve an untouched original so that changes can be traced. The pro forma financial statements guide explains how the main statements fit together.

Pro formas can be created in Excel, Google Sheets, specialist planning software or a coded modelling environment. The right tool depends on complexity, collaboration, data volume, governance and who needs to maintain the model.

• Excel is the conventional choice for detailed financial models, statement integration, scenario analysis and offline review.
• Google Sheets works well for lighter models requiring simultaneous editing, but very large files and complex controls can become difficult to manage.
• FP&A or planning platforms help with controlled workflows, permissions, consolidation and recurring forecasts.
• Python, SQL or BI tools can prepare large datasets and automate reporting, although decision logic should remain transparent to reviewers.

A practical architecture may combine tools: source transactions are cleaned in a database, assumptions are reviewed in Excel and approved outputs are displayed in a reporting platform. Avoid duplicating business logic across every layer.

Whatever software you choose, the pro forma still needs the same foundations: documented inputs, consistent dates and units, traceable formulas, scenarios, controls and version ownership. Automation can calculate a bad assumption faster; it cannot make that assumption reliable.

Start with the simplest tool that supports the decision and review process. A small income statement can use the pro forma income-statement model, while a business-wide forecast may justify the three-statement model. For construction standards that apply regardless of software, read the Excel financial-modelling best-practices guide. Treat software templates as adaptable frameworks, never as permission to copy someone else’s numbers.

Build a pro forma in Excel by separating inputs, calculations, outputs and checks. Begin with the decision and forecast horizon, then import or enter reliable historical data. Do not start by decorating a blank workbook or pasting numbers into a downloaded template.

A clean workbook might contain:

1. Cover — purpose, units, dates, author and version.
2. Assumptions — editable operating, financing and scenario inputs.
3. Schedules — revenue, costs, working capital, capex and debt.
4. Statements — income statement, balance sheet and cash flow.
5. Outputs — KPIs, charts and sensitivities.
6. Checks — balance, roll-forward and formula-consistency tests.

For a basic revenue build, enter units in B5 and price in B6, then calculate:

=B5*B6

Copy formulas consistently across periods and avoid hardcoding assumptions inside them. If next year’s price is expected to increase by 3%, reference a labelled price-growth assumption instead of typing 1.03 into multiple cells. Add a balance-sheet control such as Total assets − Total liabilities − Equity, which should equal zero.

The three-statement pro forma provides an integrated starting structure; focused versions are available for the income statement, balance sheet and cash flow. Replace all sample figures, reconcile the opening position and test a change in each key driver. The Excel best-practices guide covers formula discipline, formatting and auditability in more detail.

A pro forma spreadsheet should include the assumptions, calculations, outputs and controls needed to answer a defined financial question. It does not need every possible schedule. A focused, auditable workbook is more useful than a large file filled with unused tabs.

At minimum, include:

• Purpose and scope: event, forecast dates, currency, units and accounting basis;
• Historical baseline: reconciled actual figures where available;
• Assumptions: volumes, prices, margins, timing, financing and scenarios;
• Calculations: schedules that turn those drivers into financial results;
• Outputs: profit, cash, funding, valuation or returns relevant to the decision;
• Checks: statement balance, roll-forwards, signs, dates and formula consistency; and
• Documentation: sources, version history, author, reviewer and limitations.

A linked business pro forma commonly contains an income statement, balance sheet and cash-flow statement. Its core relationship can be summarised as:

Closing cash = opening cash + operating cash flow
             + investing cash flow + financing cash flow

Supporting schedules should drive those statements rather than repeat them. For example, receivables may be calculated from credit revenue and debtor days, while debt balances roll forward from opening debt, drawdowns and repayments.

Use pro forma financial statements to understand the integration, or start from the three-statement pro forma. A downloaded sheet is only a framework: remove irrelevant sections, replace every illustrative input and document the source of material assumptions. Reviewers should be able to trace an output back to its driver without reverse-engineering the entire workbook.

Create a pro forma by defining the proposed event or future scenario, establishing a reliable baseline and translating explicit assumptions into financial outputs. The method should follow the decision; a new product launch may need a monthly cash forecast, while an acquisition may require combined statements and transaction adjustments.

Use this sequence:

1. Define the question. State the event, audience, forecast period and required outputs.
2. Build the baseline. Reconcile historical financial and operating data.
3. Select drivers. Model revenue, costs and investment from operational assumptions.
4. Apply adjustments. Show proposed financing, synergies or one-off changes separately.
5. Link the statements. Connect profit, cash and financial position where relevant.
6. Add scenarios and checks. Test uncertainty and verify internal consistency.
7. Review and communicate. Explain assumptions, results and limitations.

Suppose a company plans to sell 10,000 units at £40 with a £24 unit cost:

Revenue = 10,000 × £40 = £400,000
Gross profit = 10,000 × (£40 − £24) = £160,000

The pro forma should then reflect payroll, overheads, customer-payment timing, stock purchases, tax and funding—not stop at gross profit. A downside case might reduce volume and delay collections together.

Use the pro forma library to avoid rebuilding routine spreadsheet structure, but never copy the template’s sample numbers as your forecast. The pro forma statements guide explains statement integration, and the three-statement model offers a practical framework for a complete business forecast.

Prepare a pro forma income statement by forecasting revenue and each expense category from identifiable business drivers, then calculating operating profit, finance costs, tax and net income. Begin with reconciled historical results so the projection has a defensible base.

A simple structure is:

If 25,000 units sell for £12 and cost £7 each, the initial calculation is:

Revenue = 25,000 × £12 = £300,000
Gross profit = 25,000 × (£12 − £7) = £125,000

Deduct separately forecast payroll and overheads to reach operating profit. Keep non-recurring or transaction adjustments in labelled rows rather than burying them in ordinary expenses. Show actual and forecast periods distinctly and include base, upside and downside cases where uncertainty is material.

An income statement alone does not reveal whether the business can pay its bills. Customer collections, stock, capex, debt and dividends affect cash and the balance sheet. Use the pro forma income-statement model for a focused P&L, or the three-statement pro forma when these links matter. The pro forma financial-statements guide explains how projected net income flows through the wider model.

Prepare a pro forma balance sheet by rolling each asset, liability and equity account from an opening position under the proposed plan or transaction. Start with a reconciled historical balance sheet; a forecast built on an unexplained opening imbalance will remain unreliable.

Model major accounts with explicit roll-forwards. For example:

Closing receivables = credit revenue × debtor days ÷ 365
Closing debt = opening debt + drawdowns − repayments
Closing retained earnings = opening retained earnings + net income − dividends

A practical balance-sheet build should cover:

• cash, receivables, inventory and other current assets;
• property, equipment and accumulated depreciation;
• payables, accruals and other liabilities;
• debt and lease obligations; and
• share capital, reserves and retained earnings.

Link the statement to supporting schedules and the pro forma income statement. Net income changes retained earnings; capex and depreciation change fixed assets; working-capital assumptions change receivables, inventory and payables; financing decisions change cash, debt and equity. Cash should normally be derived from the cash-flow statement rather than typed as a convenient balancing figure.

Add a visible control:

Total assets − Total liabilities − Total equity = 0

Use the pro forma balance-sheet model as a starting structure. If the decision depends on profitability and liquidity as well, use the integrated three-statement pro forma. Replace every sample balance with your reconciled data, document policy assumptions and investigate—not conceal—any balancing difference. The pro forma statements guide gives the broader linkage.

You can find a dedicated starting point in Finamodel’s pro forma balance-sheet model. Use it when the main question concerns projected assets, liabilities, equity, working capital or financing. If you also need profit and cash-flow integration, the three-statement pro forma is usually a better choice.

Before adopting any balance-sheet template, check that it supports:

• the required forecast periods and currency;
• opening balances that can be reconciled to actual accounts;
• working-capital schedules for receivables, inventory and payables;
• fixed-asset, depreciation, debt and equity roll-forwards; and
• a visible Assets = Liabilities + Equity control.

A template might calculate receivables as revenue × debtor days ÷ 365. That formula is only a structural example. Replace the debtor-day assumption with a figure supported by actual collections, customer contracts or an explicit policy. Likewise, do not retain illustrative debt, tax or dividend assumptions merely because they make the workbook balance.

When adapting the file, preserve an untouched copy, label input cells, import the opening trial-balance figures and map each source account to a model line. Then change one important assumption at a time and confirm that the related statements update consistently. Cash should tie to the pro forma cash-flow model or an integrated statement, not be used as an unexplained plug.

The pro forma financial-statements guide explains how balance-sheet movements connect with profit and cash. A template accelerates layout and formulas; it does not determine the appropriate accounting treatment or supply reliable forecast inputs.

Use a pro forma budget template as a structured starting point for translating operational plans into revenue, expenses, cash requirements and funding. Begin by defining the budget period, reporting frequency, currency, business units and approval responsibilities. Then replace every illustrative assumption with information owned by the relevant manager.

A useful workflow is:

1. Import actual results and reconcile the opening position.
2. Build revenue from volume, price, customers or another operating driver.
3. Forecast payroll from roles, start dates, salary and on-costs.
4. Add contractual, activity-based and discretionary expenditure.
5. Model working capital, capex, tax and financing.
6. Create base and downside cases and test minimum cash.
7. Freeze the approved budget and compare actual performance with it.

For example, a subscription plan might use:

Average subscribers = 4,000
Monthly price = £20
Annual revenue = 4,000 × £20 × 12 = £960,000

Do not simply copy the template’s 10% growth rate. Support growth with acquisition, churn, capacity or signed-contract assumptions, and document the source. If assumptions change after approval, update the forecast while retaining the original budget as the comparison baseline.

The start-up financial model is suitable for growth, funding and runway planning, while the three-statement pro forma supports a fully integrated corporate budget. Browse other structures in the pro forma library. The model should make ownership and trade-offs visible; a pre-built layout cannot replace commercial challenge or management approval.

A pro forma generator can create a first-pass forecast or statement from inputs, but its output still requires financial judgement and review. Some tools populate spreadsheet templates; others use accounting data, planning software or AI to suggest assumptions and formulas. They are most useful for accelerating routine structure—not for deciding what the business will actually do.

Before using a generator, check:

• what source data it uses and whether those figures reconcile;
• whether assumptions are visible, editable and dated;
• how it treats tax, working capital, debt and accounting policies;
• whether formulas and adjustments can be traced; and
• whether the output includes scenarios and control checks.

For example, a generator may project £1.1 million of next-year revenue by applying 10% growth to £1 million. A better model asks whether revenue is driven by customers, units, price, capacity or contracts:

Revenue = customers × average spend × purchase frequency

That driver-based structure shows why revenue changes and produces more useful sensitivities.

Finamodel’s pro forma library provides transparent spreadsheet frameworks, including an integrated three-statement model and a start-up model. These templates save layout time while keeping the modeller responsible for the data and logic.

Treat generated content as a draft. Replace sample inputs, inspect formulas, reconcile opening balances and obtain appropriate review before using the result for financing, investment or reporting. The Excel modelling best-practices guide gives a useful checklist for testing machine-generated or template-based workbooks.

Build a pro forma in Google Sheets using the same disciplined structure as an Excel model: separate assumptions, calculations, outputs and checks. Sheets is particularly useful when several people need to update inputs or review a lightweight plan simultaneously. For large, highly integrated or sensitive models, consider whether Excel or a controlled planning platform offers stronger performance and governance.

Create tabs such as Cover, Assumptions, Revenue, Costs, Statements, Outputs and Checks. Protect formula ranges, limit editing permissions and use named ranges sparingly so reviewers can trace logic. A simple revenue formula might be:

=B5*B6

where B5 contains forecast units and B6 contains average price. Do not place a hardcoded growth rate inside formulas copied throughout the workbook. Keep the assumption in one labelled cell and reference it consistently.

Useful collaboration controls include:

• protected ranges for formulas and approved actual data;
• data validation for scenario switches and input choices;
• comments for assumption ownership and sources;
• version history and named versions at approval points; and
• a change log for material revisions.

You can use models from the pro forma library as structural references, including the income statement, cash-flow model and three-statement model. Rebuild or adapt the relevant logic rather than copying displayed numbers. Test exported files carefully because formulas, named ranges and formatting may behave differently between platforms. The Excel best-practices guide contains construction principles that apply equally well in Sheets.

Reliable guidance on preparing a pro forma should explain the purpose, assumptions, mechanics, statement links, controls and limitations—not merely provide a blank form. Finamodel’s guide to pro forma financial statements covers the core statement structure, while the Excel financial-modelling best-practices guide addresses spreadsheet construction and review.

Use guidance in this order:

1. Define the decision, audience, date and forecast horizon.
2. Determine whether you need one schedule or linked statements.
3. Gather historical data and reconcile the starting position.
4. Choose evidence-based operating and financing drivers.
5. Build calculations, scenarios and controls.
6. Review the results and disclose important limitations.

The practical model should explain how each headline output is produced. For example:

Revenue = units × price

is more transparent than typing a revenue target, but the modeller must still support the unit and price assumptions. Guidance cannot supply facts specific to the business.

For a workbook starting point, browse the pro forma model library. Use the income-statement model for a focused profitability forecast, the cash-flow model for liquidity or the three-statement model for integrated planning.

Where a pro forma will be used in regulated reporting, lending or a transaction, supplement general modelling guidance with the applicable accounting, legal and disclosure requirements and obtain qualified review. Online examples and templates demonstrate mechanics; they do not establish that a particular adjustment or presentation is permissible.

A pro forma income statement example normally places historical results beside projected or adjusted periods and shows how revenue flows through expenses to net income. A compact forecast might look like this:

The projected revenue should be driven by operating assumptions. If volume rises from 10,000 to 11,000 units and price from £100 to about £109, then 11,000 × £109 ≈ £1.2 million. Cost of sales should respond to volume and unit cost; payroll should reflect headcount and start dates. Each adjustment must be documented rather than inserted only to reach the desired profit.

A useful example also includes a base case and material sensitivities, separates recurring operations from one-off adjustments and states the forecast period, currency and accounting basis. It should not imply that the projected £120,000 is guaranteed.

Use the pro forma income-statement model to inspect a focused structure, or the three-statement pro forma when changes in working capital, debt, capex and cash matter. The pro forma financial-statements guide explains the links. Copy the layout if useful, but replace the example figures with sourced business assumptions and test how every line changes.

Pro forma journal entries are illustrative entries showing how a proposed or assumed event would affect the accounts. They help translate a transaction scenario into pro forma financial statements, but they are not necessarily entries that should be posted to the general ledger. Actual recognition depends on the applicable accounting requirements and whether the event has occurred.

Suppose a company is modelling the purchase of equipment for £100,000, funded entirely by a new loan. The illustrative transaction entries are:

Dr Property, plant and equipment    £100,000
    Cr Debt                                      £100,000

Dr Depreciation expense              £10,000
    Cr Accumulated depreciation                   £10,000

If annual cash interest is 6%, the model may also show:

Dr Interest expense                   £6,000
    Cr Cash / interest payable                     £6,000

These entries explain why the pro forma balance sheet gains an asset and liability, why profit falls through depreciation and interest, and why cash changes. For an acquisition, entries may also cover consideration, financing, acquired assets and liabilities, goodwill and transaction costs. Each should be labelled with its basis and kept separate from operating forecast assumptions.

Use a reconciliation table with columns for reported balance, pro forma adjustment and pro forma balance. Confirm that debits equal credits and carry each effect consistently through the income statement, balance sheet and cash flow. The three-statement pro forma provides an integrated structure, while the pro forma statements guide explains the flow. Do not copy example entries blindly; obtain accounting advice for the actual transaction and reporting framework.