rolling 12 month graphs
8Mar 2017

Rolling 12 Month Graphs

Valuation Metrics & Performance Dashboard Elements – Rolling 12 Month Graphs

Today’s blog will introduce you to the 12-month rolling graphs and performance dashboard elements.

Rolling 12 Month Graphs

Year-to-Date (YTD) financial statements are almost useless until the 4th quarter. Almost all financial software programs have YTD as their standard. A much more effective tool is a 12-month rolling history which can also be used to create a 12-month budget monitor.

A 12-month rolling metric tracking system can work on most performance metrics. It works by adding up the 12 months data and then insert that data point monthly into a graph or other time basis. For example, if you have a 12-month rolling point and want to add this month (say June) then you add this June into the sum and remove last June’s number.

With a 12 month rolling metric any change in slope is significant because a current month replaces a past year month. Any change represents a change in the month’s activity rather than waiting for YTD to get to the 4th quarter.

Valuation – Performance Metric

It is recommended that a business valuation is done every two years. With my nine methods and calculations, it can be used as a metric for management performance. Are the net assets improving? Is the cash flow better? What impact does that have on the market value method? If the net cash flow is increasing, the statistically projected method will show a rise. I discuss these nine valuation concepts in my book. “Business Valuation Principles Made Easy with How to Increase Value Financially.”


George, M&A Attorney learned how to Build Value from Dale Richards Valuation Presentation

George, M&A Attorney, Atlanta, Georgia learned how to Build Value from Dale Richards Valuation Presentation. His clients are always wanting more value and Dale’s key business concepts presentation on Business Valuation Principles – How to Increase Your Business Value, Financially, Operational and Strategically was filled with ways to do it.


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