Additional Funds Needed Calculator

Calculate additional funds needed for business growth and expansion

✓ Growth planning ✓ Financial forecasting ✓ Funding requirements

Calculator

Current Financial Position

Growth Projections

About This Calculator

Calculate the additional funds needed to support business growth

AFN Formula:

AFN = (A/S₀) × ΔS - (L/S₀) × ΔS - MS₁ × (1-d)

Formula Components

A/Sâ‚€: Asset-to-Sales ratio
ΔS: Change in Sales
L/Sâ‚€: Liability-to-Sales ratio
M: Net Profit Margin
S₁: Projected Sales
d: Dividend Payout Ratio
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How to Use

  1. Enter your current financial position data
  2. Input your projected sales growth percentage
  3. Specify your net profit margin
  4. Enter your dividend payout ratio
  5. Input your asset turnover ratio
  6. Click calculate to see funding needs

Understanding AFN

Positive AFN

External financing needed to support growth.

Negative AFN

Surplus funds available after growth.

Zero AFN

Growth can be self-financed.