At Marquee, we believe that a good financial model needs to be a powerful communication tool that can be used to make effective decisions.
Our consulting teams follow a detailed process to ensure the completed model includes the following attributes:
When a model achieves these criteria, it creates tremendous credibility for the builder and inspires confidence with the reader. It is also much easier for someone to take ownership of a model.
In order to achieve the goal of creating powerful, easily transferable Excel tools, Marquee emphasizes several modeling themes:
- Thorough planning in the model design phase to ensure the model is easy to use and audit, both electronically and on paper
- Centralized assumptions section (no inputs in the model engine)
- Color coding system to differentiate inputs from links/calculations
- Robust and easy to use scenario analysis for key model drivers
- Simple formulae
- Vertical model structure and use of repeating and linking
- Easily printable
- Where desired, inclusion of model protection and security features
- No use of macros (where possible)