Originally published: 16/03/2018 15:42
Last version published: 16/03/2018 15:53
Publication number: ELQ-30188-3
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Modelling Volume - Spark Financial Model

Learn how to model volume and volume drivers within the Spark Financial Model.

This video uses a screen-sharing method to take you through the Volume section of the Spark financial model.

The volume section allows you to input up to 5 volume drivers. To fill one out simply expand one out and give it a name. Make this a unique name, because the model later uses this as a reference. Next, select input method. Autofill focuses on the rate of growth, and works well if you expect a linear growth profile, whereas manual input allows you to specify the exact volumes for each year. Use this if your growth is unlikely to be constant, or you have a good grasp of the exact number of customers. If you have a recurring revenue model, such as subscription fees, the number of customers you enter here refer to the number of new customers only.

The video uses an example to talk you through this section of the model so that you can obtain a full understanding of how to use it correctly.

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Length: 3 minutes 20 seconds

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