Excel-Based Financial Model for Profitable Trucking Operations

Description
If you want to start a trucking business, there are a lot of moving parts to consider. I built this model to be good at scaling. You will find some elegant logic that makes it easy to scale out your activities based on the number of deliveries per month over 60 months. There are up to three delivery/truck types and all sorts of configurations to define each.

The revenue is more straightforward. You can simply define the average delivery fee for each type of delivery (adjustable over 5 years). For this, it is best to use a weighted average based on the total number of deliveries performed and the expected total revenue for all those deliveries. Divide total fees by total deliveries to get the right input. These would be estimates based on industry data or your own historical data.

Variable expenses get more complicated. This is because as you scale out more deliveries, you will need more trucks. A ratio is defined for each delivery type that assumes a certain number of deliveries each truck can make per month, based on that and the delivery count assumptions over time, you will have some minimum number of trucks required to be in service.

The expenses are listed on a per truck basis and based on things like insurance / month per truck, repairs and maintenance per month, and other miscellaneous costs per truck per month. There are also wages of truck drivers as well as fuel costs that are based on the average models driven per delivery.

If you are leasing trucks instead of buying them, you can flip the switch on the ‘global control’ to ‘Leasing’ and all the purchasing costs and insurance/repairs and maintenance costs will zero out. You would simply define the average monthly leasing costs per truck.

After going through and configuring all these inputs, the model outputs monthly and annual cash flow forecasts, a monthly and annual Income Statement, Balance Sheet, and Cash Flow Statement, as well as a DCF Analysis, Executive Summary, visualizations for a bunch of KPIs, and a monthly and annual pro forma detail that shows you how all the assumptions come together.

The template comes with all the assumptions blank, and you can view the video to see how to fill out all the inputs.

This template is also included in two bundles:
- All Models Bundle: https://www.eloquens.com/tool/P8Y4TX4v/finance/financial-forecasting-models/financial-models-120-useful-and-usable-logic
- Industry-Specific: https://www.eloquens.com/tool/lrNGt2jL/strategy/business-plans/business-sector-bundle-35-bottom-up-financial-models