portfolio slider model finannsowy joint venture

Project details

The project assumed the preparation of professional financial forecasts to be one of the negotiating tools for a joint venture project. One of the entities was to provide clients to the other company using marketing channels. The second company provided financial services via the Internet.
Financial forecasts, along with the possibility of business modeling, made it possible to accelerate the negotiation process as each party could assess the value of its contribution in relation to the achievement of potential benefits.


Financial modeling included:

  • Promotion Period,
  • Profit Share value,
  • Flat fee rate
  • Profit Share Period.

Basic data of the joint venture financial model

In this section of the financial model, it was possible to enter declarative data on marketing parameters, detailing 16 dedicated marketing channels with their current Rate Card price and the rebate rate, the maximum value of which may be 100%.

This was necessary because the promotion was to take place in several different media and each channel was set individually.

General parameters in the financial model

In this part of the model, entity B determined the target with the following data on the basis of its experience acquired in the course of its activity:

  • statistical percentage distribution in the population,
  • achievable margin.

Financial model conversion parameters

Estimated conversions defined as the percentage of leads deciding to use the services.
The sheet also shows the automatic conversion of percentages to total values of the estimated number of customers.

Dashboard for negotiation

On the basis of this sheet, it was possible to conduct substantive trade negotiations, using the possibility of making forecasts in order to establish conditions satisfactory for both parties.

In this part of the model, quick changes to the form parameters are available, specifying:

  • number of months of the profit share period,
  • profit share rates,
  • distinction Gross / Net (due to the fact that advertising rates are taxed at 23% VAT and financial services at 0% VAT.

There is also a simple efficiency analysis achieved in individual target groups, measured in the form of the achieved margin.

Analytical view for company A, provider of advertising services

It was also possible to make changes to the business model in terms of:

  • to specify the project start date
  • determining the duration of profit share,
  • determine the percentage of the discount on the promotional channel,
  • profit share percentage.

There are also shown total revenues that can be obtained by entity A with the following specification:

  • marketing channels,
  • VAT rate,
  • and participating in profit share.

The view of the model presenting the basic parameter for company B enabled it to make the right business decisions, taking into account the achieved margin and capital amounts, which at the beginning of cooperation it would have to cover from its own funds