A free example of a financial KPIs dashboard

You will find a financial KPIs dashboard tailored to your project in our list of 200+ financial plans

All our financial plans do include a financial KPIs dashboard.

How can you easily track your financial KPIs without getting overwhelmed?

In this article, we provide a free tool to do so. If you're looking for something more tailored to your specific project, feel free to browse our list of financial plans, customized for over 200 different project types here.

We'll also address the following questions:

What are the main financial KPIs to monitor for a small business?
How can the tracking of financial KPIs be automated to avoid manual errors?
What is the average cost of financial KPI tracking software for an SME?
How long does it typically take to set up a financial KPI dashboard?
What is the ideal frequency for reviewing financial KPIs?
What is the average ROI expected after implementing a financial KPI tracking system?
What are the common challenges when setting up a financial KPI tracking system?

Here Are the Steps to Easily Track Your Financial KPIs

To skip all these steps, you can simply download a financial forecast tailored to your industry.

• 1. Identify Key Financial KPIs:

  Determine the most important financial metrics for your business. Common KPIs include Monthly Recurring Revenue (MRR), Customer Acquisition Cost (CAC), Customer Lifetime Value (CLV), and Churn Rate.

• 2. Set Initial Targets:

  Establish initial targets for each KPI. For example, decide on a target number of customers and the expected monthly revenue per customer.

• 3. Allocate Budget for Customer Acquisition:

  Determine your budget for marketing and sales efforts to acquire new customers. This will help you calculate your Customer Acquisition Cost (CAC).

• 4. Estimate Customer Lifetime Value (CLV):

  Estimate how long the average customer will stay subscribed to your service and calculate the total revenue you expect to earn from each customer over their lifetime.

• 5. Calculate Churn Rate:

  Estimate the percentage of customers who will cancel their subscription each month. This will help you understand how many new customers you need to acquire to maintain or grow your customer base.

• 6. Set Up a Tracking System:

  Create a simple spreadsheet to track your KPIs. Include columns for each month to record the number of new customers, total customers, MRR, CAC, CLV, and churn rate.

• 7. Regularly Update Your Data:

  Consistently update your spreadsheet with the latest data. This will help you monitor trends and make informed decisions based on your financial performance.

• 8. Analyze Trends and Adjust Strategies:

  Review your data regularly to identify trends. Use this information to adjust your strategies and ensure sustainable growth for your business.

What Should Be Included in a Financial KPIs Dashboard?

Here are the key elements that should be included, all of which you will find in our financial forecasts tailored to 200+ different business projects.

Financial KPI	Description	Advantages	Challenges
Revenue	Total income generated from sales of goods or services.	Indicates business growth and market demand.	Can be influenced by seasonal trends and market conditions.
Net Profit Margin	Percentage of revenue remaining after all expenses, taxes, and costs have been deducted.	Shows overall profitability and efficiency.	Requires accurate expense tracking and cost management.
Gross Profit Margin	Percentage of revenue remaining after deducting the cost of goods sold (COGS).	Indicates production efficiency and pricing strategy effectiveness.	Does not account for operating expenses and other costs.
Operating Cash Flow	Cash generated from regular business operations.	Reflects the company's ability to generate sufficient cash to maintain and grow operations.	Can be affected by changes in working capital and non-cash items.
Current Ratio	Measures the company's ability to pay short-term obligations with its current assets.	Indicates liquidity and short-term financial health.	May not account for the timing of asset liquidation and liability payments.
Debt-to-Equity Ratio	Compares the company's total liabilities to its shareholder equity.	Shows the degree of financial leverage and risk.	High ratios can indicate potential solvency issues.
Return on Equity (ROE)	Measures the profitability relative to shareholders' equity.	Indicates how effectively management is using equity to generate profit.	Can be influenced by high debt levels.
Customer Acquisition Cost (CAC)	Total cost of acquiring a new customer.	Helps in evaluating the efficiency of marketing and sales efforts.	Requires accurate tracking of all related expenses.
Customer Lifetime Value (CLV)	Total revenue expected from a customer over their entire relationship with the company.	Helps in understanding the long-term value of customers.	Requires historical data and accurate forecasting.
Burn Rate	Rate at which a company is spending its cash reserves.	Critical for startups and companies in growth phases to manage cash flow.	High burn rates can lead to cash flow issues if not managed properly.

Our financial forecasts are comprehensive and will help you secure financing from the bank or investors.

Common Questions You May Have

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- How to forecast future operating cash flow?
- How can I forecast my future average basket size?
- A free example of a project cost estimation sheet

What are the most critical financial KPIs to track for a new business?

The most critical financial KPIs for a new business include revenue growth, profit margin, and cash flow.

Tracking these KPIs helps you understand your business's financial health and sustainability.

Focusing on these metrics can provide a clear picture of your financial performance and guide strategic decisions.

How often should I review my financial KPIs to stay on top of my business performance?

It is recommended to review your financial KPIs on a monthly basis to ensure timely adjustments and improvements.

For more dynamic businesses, a weekly review might be necessary to stay agile and responsive.

Quarterly reviews can also be beneficial for long-term strategic planning and performance assessment.

What is a healthy profit margin for a small business?

A healthy profit margin for a small business typically ranges from 10% to 20%.

This can vary significantly depending on the industry and business model.

Regularly monitoring and aiming to improve your profit margin is crucial for long-term success.

How can I automate the tracking of my financial KPIs?

Using accounting software like QuickBooks or Xero can automate the tracking of your financial KPIs.

These tools can generate real-time reports and dashboards, making it easier to monitor your performance.

Integrating these tools with your bank accounts and other financial systems can further streamline the process.

What is the average cash flow cycle for a small business?

The average cash flow cycle for a small business is typically 30 to 90 days.

This cycle can be influenced by factors such as payment terms with suppliers and customers.

Understanding and managing your cash flow cycle is essential to maintaining liquidity and avoiding cash shortages.

How can I benchmark my financial KPIs against industry standards?

Benchmarking your financial KPIs against industry standards can be done using industry reports and financial databases.

Resources like IBISWorld and Statista provide valuable industry-specific financial data.

Comparing your KPIs to these benchmarks can help identify areas for improvement and set realistic performance goals.

What is a good target for revenue growth in the first year of business?

A good target for revenue growth in the first year of business is typically 20% to 50%.

This target can vary based on your industry, market conditions, and business model.

Setting realistic and achievable revenue growth targets is crucial for maintaining motivation and tracking progress.