Unformatted text preview: smaller scale internal family relationships. Keep it in the family is the motive and these financial forecasts are incorporated for more than the loan process. Plans to go public or invite investors are reasons a family owned business may use financial forecasts. Evaluation and examination of the operation of the company can be obtained from theses forecasts and disclose guidelines for investments and running operating assets and profits. An established company also has their own reasoning for obtaining financial forecasts. The thoughts of the future of the company and the results of the past are determinations of how the company has performed and is predicting to perform in the future. Many vital decisions are made using the information available in these forecasts and an existing company can remain status quo or explore options of expansion and growth. The measuring stick is a term applied to financial forecasts....
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- Spring '10
- Forecasting, Futurology, financial forecasts