Nicolas Boucher Online on LinkedIn: Top 10 Finance Certifications Young finance professionals always ask me… | 218 comments (2024)

The Budget ProcessYou always wanted to master the budgeting process in Finance?Here is what you need to know:The different steps of the budget:1/ Set expectations with management2/ Plan Sales3/ Operational Plan4/ Plan Resources5/ Compute Standard costs6/ Plan Overhead7/ Transform budget into Financial Statements1/ Set expectations:Understand expectations from management about- Growth- Implementation of strategy- Profitability- Lessons learned from the past2/ Plan sales- Choose the most appropriate method- Plan with sufficient details to be able to run analysis- Pay attention to factors impacting changes- Ensure accuracy of phasing- Prepare what if analysis with impact on resources and profitability3/ Operational plan- Plan production and delivery- Plan workload4. Plan ressources- Plan direct headcounts & capacity- Plan material needs- Plan investments5. Compute standard costsCompute:- Direct labor: hours/unit and hourly rate- Material: quantity & price- Manufacturing overhead allocation6. Plan overhead- Department budget- Allocations of overhead costs7. Translate budget into financial statements- Income Statement- Balance Sheet- Cash- Communicate results and cascade down key figures and action planBonus: Role of Finance- Coordination- Consistency- Documentation- Communication of targets and results--------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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The 10 Best SaaS KPIs1/ Customer Churn RateDescription: Percentage of customers lost in a given time frameFormula: Customers lost / Total Customers2/ New Buyer Growth RateDescription: Speed at which you gain new customers over defined periods of timeFormula: (New buyers this month - New buyers last month) / New buyers last month3/ Lifetime ValueDescription: Revenue from a customer over the retention time periodFormula: Customer Value * Average Customer Lifespan4/ Customer Acquisition CostsDescription: Amount of money a company spends to get a new customerFormula: Cost of Sales and Marketing / Number of New Customers Acquired5/ Net Burn rateDescription: Net Cash spent by a company in a specific time frame (usually monthly or normalized to a year)Formula: Cash Spent - Cash received6/ RunwayDescription: Time that a startup has before they run out of financesFormula: Current Cash Balance / Burn Rate7/ Average Revenue Per User (ARPU)Description: Average revenue generated per customer (either monthly or annually)Formula: Total revenue / Total number of customers8/ SaaS Quick RatioDescription: Compares revenue added (new business) vs revenue lost (churn)Formula: (New MRRt + Expansion MRRt) / (Churned MRRt + Contraction MRRt)9/ Monthly Recurring Revenue (MRR)Description: Monthly revenue from customers with a subscriptionFormula: Number of customers * Average billed amount10/ Total Addressable Market (TAM)Description: Market size of a product/service in value that the company can achieveFormula: Annual Contract Value per client * Number of potential clients👉 Which other KPIs should be considered?-------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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100 Productivity TipsSave 1000s of hours on Excel, Powerpoint, Outlook and WordBookmark this and reshare it to help save other save time!👉 Get the High Resolution PDF here:https://lnkd.in/eTDf6GfJThis list contains all the tips you need.Here is a preview:📊 Excel1. How to autosum adjacent cells?Alt + =2. How to create a waterfall chart?Insert > Chart > Waterfall3. How to insert a new worksheet?Shift + F114. How to track changes in a workbook?Review > Track Changes > Highlight Changes5. How to insert a new column?Ctrl + Shift + "+"(get the answers 6-25 in the Cheat Sheet below)🖥 Powerpoint26. How to convert a text into a diagram?Select text > Convert to SmartArt > Choose a SmartArt Graphic27. How to set slide transitions?Transitions > Transition to This Slide > Effect28. How to loop a PowerPoint presentation?Slide Show > Set Up Slide Show > Loop continuously29. How to compress images in PowerPoint?Select image > Picture Format > Compress Pictures30. How to link Excel tables in PowerPoint?Insert > Text > Object > Create from File > Browse to select Excel file(get the answers 31-50 in the Cheat Sheet below)📧 Outlook51. How to recall an email in Outlook?Open Sent Items > Message > Actions > Recall This Message52. How to set out of office?File > Automatic Replies > Send automatic replies53. How to automatically delay all sent emails by 1 minute?File > Manage Rules & Alerts > New Rule > Apply rule on messages I send54. How to create a new email?Press Ctrl + N55. How to reply to a message?Press Ctrl + R(get the answers 56-75 in the Cheat Sheet below)📑 Word76. How to jump to your most recent edits?Shift + F577. How to track changes in Word?Enable “Track Changes” for real-time editing visibility78. How to insert a table in Word?Insert tab > Select Table > Choose the number of rows and columns79. How to create a template in Word?File > Save As > Save as type: Word Template (*.dotx)80. How to change line spacing in Word?Home > Line and Spacing > Line Spacing Options(get the answers 81-100 in the Cheat Sheet below)👉 What else would you add?👉 Did you learn something?👉 Which tips are the best?-------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on-demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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How to use ChatGPT for Finance?Give me 2 hours and I will teach you how.For your career, you have two solutions:1) let AI take over your job2) leverage AI to boost your careerIf you want to learn AI to boost your career, I have worked over the last months to come up with a solution.I can teach you-How to start using ChatGPT with a step-by-step instruction-How to use ChatGPT to create Excel Formulas-How to use ChatGPT to analyse figures-How to use ChatGPT to write emails-How to use ChatGPT to write SOP-What ChatGPT can do to help you-And much moreAll this in a self paced video course.This course is unique, you will not find it anywhere else.And it's totally relevant for finance professionals.Why?Because I worked for more than 15 years in Finance, trained and coached more than 3000 finance professionals.And this makes me understand the needs and day-to-day tasks of finance people.Take advantage of my course and learn how to use ChatGPT to boost your career.If you don't do it, others will and soon they will take over your role.👉 Join the finance professionals who already trusted me:https://lnkd.in/dhXV9tPC🚨 Special launch price for a limited time. Hurry up before it's too late!

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The Future of the CFOTrends and Predictions for the Next DecadeBased on the discussions I have with CFOs from different industriesHere are the 6 main trends I see:1. Strategic leadershipCFOs are increasingly expected to play a more strategic role in the organizationActing as a key business partner to the CEO and other senior leaders.2. Digital transformationCFOs need to continue to embrace and leverage new technologies to improve financial operations including:- automation- data analytics- cloud-based systems- AI with natural language interface3. Sustainability and ESGCFOs will play a critical role in managing environmental, social, and governance (ESG) risks and opportunities.Stakeholders increasingly demand more sustainable and socially responsible business practices.And reporting requirements for ESG will go direclty on the table of the CFOs.4. CybersecurityCFOs need to work closely with IT and other stakeholders.Why? Cybersecurity risk is at the highest.And they have as duty number one to ensure that the company's financial and other data are secure.5. Talent ManagementCFOs need to develop and implement effective talent management strategies to attract and retain the best employees.Skills needed in Finance 10 years ago are less in demand but new skills are needed: data analytics, business partnering and data storytelling.6. GlobalizationCFOs need to navigate an increasingly complex and interconnected global business environment.Since COVID, the rules of international business have changed.The CFO should have a focus on managing foreign currency risk and understanding international supply chain dynamics.👉 What did I miss?P.S. Get my new free 30-day course to boost your careerThe Finance Career Acceleratorhttps://lnkd.in/ekJzCMGWHere is what you can expect:Description finance rolesTechnical & soft skillsJob search strategiesCertificationsInterview tipsand much more!Enroll for free and let me help you ;)

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Ace your next finance interview!I interviewed 100s of peopleAnd if you need a CV, here is a free template that already help many professionals get the job they wanted:https://lnkd.in/etKjH2JgHere is the best way for candidates to be successful:1. Do your research:Understand the job and the company well. Know their challenges and the industry trends.This will help you tailor your responses and show that you are well-prepared.2. Plan ahead:Think about potential questions related to the job and plan your answers.Use the STAR (Situation, Task, Action, Result) method to structure your answers.3. Turn your answers into mini-presentations:Where possible, visualize your responses.This could be as simple as writting down your thoughts on a piece of paper and discussing them.Or even better: prepare slides for each key discussion point.4. Be interactive:Encourage dialogue during the interview.Asking questions and seeking clarification not only shows your interest but also turns the interview into a two-way conversation.5. Stay calm and composed:Interviews can be stressful.Practice mindfulness and relaxation techniques to stay calm during the interview.Personal note: breathing before an interview is really helpful to bring back your calm, trust me I even do that before the trainings I give ;)👉 Do you have any other tip to share?-------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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The 13 main accounting principlesIf you work in Finance, you MUST know these principles.Why are they important?-They drive the IFRS, US GAAP and any other local GAAP-If a transaction does not comply with one of these rules, it's probably a mistake that needs to be corrected-Your control environment must be set up to respect these principles-You need to be able to explain them to the non finance peopleWith the time and experience, these principles became like intuitions.Every time somebody proposes something not complying with these rules, I know there is a red flag.But it’s a lot to remember.This is why I have compiled them in one document.1. Accrual Principle- Definition: Income and expenses are recorded when they occur, not when cash is exchanged- Example: You record revenue when you complete a service, not when you get paid2. Conservatism Principle- Definition: Report expenses and liabilities as soon as possible, but revenues and assets only when you're sure about them- Example: You record a potential lawsuit as a loss, but don't record a potential future sale until it happens3. Consistency Principle- Definition: Use the same accounting methods from year to year- Example: If you use straight-line depreciation one year, you keep using it for the same asset4. Cost Principle- Definition: Record assets at their cost at the time of purchase, not at their current value- Example: You bought a machine for $5k, so you record it as $5k, even if it's worth $4k now5. Economic Entity Principle- Definition: Keep personal and business finances separate6. Full Disclosure Principle- Definition: Provide all necessary information in financial statements- Example: If your company has a lawsuit, it should be mentioned in your reports7. Going Concern Principle- Definition: Assume the business will continue operating in the foreseeable future.- Example: You plan to pay off a long-term loan over several years, assuming your business will still exist8. Matching Principle- Definition: Match expenses with the revenues they help to generate- Example: You record the cost of goods sold when the related sales revenue is recorded9. Materiality Principle- Definition: Only report financial information that would change a decision maker's view- Example: A $50 expense isn't listed separately in a multimillion-dollar company's report10. Monetary Unit PrincipleRecord business transactions in a stable currency11. Reliability PrincipleOnly record things in the financial statements that you can prove12. Revenue Recognition Principle- Definition: Record revenue when it's earned, not when received- Example: You record a sale when you deliver the product, not when you get paid13. Time Period PrincipleReport financials for specific, regular periods, like annually or quarterlyWhat would you add?

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10 Scenario Analysis FrameworksDo you work in FP&A?Here is an extract from a course I gave recently.The goal of the course?Scenario Planning.One of the questions from the students was:"What are the different methods for scenario analysis"Here are 10 different methods, with instructions and an illustrative example.1. "What if" analysisIdentify a set of variables that might impact your business, such as raw material, price, shipping costs, or regional demand.For example: "What if limestone prices rise by 10%?"2. SensitivityAnalyze how changes in a single input would impact a certain output, such as profits.For instance: examine how a +/- 5% change in energy costs would affect your profits.3. ProbabilisticAssign probabilities to different scenarios based on historical data or industry insights.Example: There might be a 20% chance of a severe supply chain disruption.Stress testing4. Stress testingIdentify extreme scenarios that might put your company under strain, Evaluate how your company would withstand these scenarios.Example: a massive drop in demand or a significant disruption in raw material supply.5. Monte CarloUse a computer program to simulate a range of outcomes of different scenarios and calculate probabilities for each.This could help you understand potential fluctuations in profits, costs, or revenues.6. BrainstormingBring together key stakeholders to generate a wide range of possible future scenarios.Examples: consider potential political, economic, or industry changes.Create narratives for different scenarios to help stakeholders visualize potential futures.7. ClusteringGroup similar scenarios together to simplify your analysis.For example, you might have one cluster of scenarios for Raw material and another for Labor costs8. MatrixCreate a matrix with two key uncertainties as the axes. Then fill in the quadrants with scenarios based on these uncertainties.For instance, one axis could be "Energy price volatility" and the other "Regulatory changes".9. StorytellingFor example, tell a story on how your company would fare under a scenario of rapid economic growth or a severe recession.10. SimulationUse sophisticated software to simulate how your company would perform under different scenarios.For example, simulate how a 10% increase in cement demand would impact your production, costs, & profits.------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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Translate Business Events into FinancialsSteal my Framework: I.M.P.A.C.T.S.This is one of the reasons why I accessed leadership positions in finance.I was able to add value to the business by translating business events into financials.Here is the framework I used:1. I - Insightful InvestigationGoal: Gather & Analyze InsightsHow?- Monitor internal reports- Review industry news- Collect stakeholder feedback2. M - Mindful MeasurementGoal: Discern & PrioritizeHow?- Evaluate potential impact- Rank information by relevance- Use SWOT analysis3. P - Precise ProjectionGoal: Model & QuantifyHow?- Develop financial models- Perform scenario analysis- Conduct sensitivity analysis4. A - Alerting AuthoritiesGoal: Communicate & DiscussHow?- Summarize findings- Present to management- Discuss possible actions5. C - Comprehensive CalculationGoal: Integrate & AdjustHow?- Update financial forecasts- Revise budgets- Adjust projections6. T - Tactical TranslationGoal: Plan & AssignHow?- Identify strategies- Allocate responsibilities- Set implementation timelines7. S - Systematic ScrutinyGoal: Monitor & RefineHow?- Track progress- Assess outcomes- Adjust strategies as neededRemember these 7 steps and use it to have more Impact on your business.👉 Let me know if you like this method-------🤖 Learn ChatGPT and use it to become more productiveAnd secure your future against the rise of AI!Take my ChatGPT for Finance Video Course• 2.5 hours of on demand videos• 92 Pages of PDF• 450+ prompts• Practical exercises• 10 Prompt Engineering Methods for Finance• Taken by more than 1,000 people and rated 5 starsGrab your offer here:https://lnkd.in/dhXV9tPC

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Budgeting ChecklistYou are working on the budget?Get this checklist to organize your budget process.🔗 Download it here:https://lnkd.in/edvf5exsHere is what is inside:1️⃣ Preparation & Planning🔲 Understand management's expectations concerning growth, strategy & profitability🔲 Set clear financial goals and differentiate between short and long-term objectives🔲 Establish a structured approach for managing the budget process (deadlines, owners)🔲 Ensure that budgeting activities align with the organization’s overarching goals and prioritiesTip: you can use ChatGPT to draft your budget instructions or budget memo.If you want to learn how to use ChatGPT for Finance, you can learn it here:https://lnkd.in/dhXV9tPC2️⃣ Sales Planning🔲 Choose an appropriate method for sales planning🔲 Detail your budget sufficiently for effective analysis🔲 Consider external factors like market trends, economic conditions impacting the business🔲 Ensure accurate phasing of the sales plan🔲 Conduct 'what-if' analysis to understand impacts on resources and profitability3️⃣ Operational & Resource Planning🔲 Plan for production, delivery, and workload🔲 Account for direct headcounts & determine capacity🔲 Determine material needs and plan for necessary investments🔲 Collaborate with cross-functional teams to develop a comprehensive operational plan4️⃣ Costing & Overhead Planning🔲 Compute standard costs: direct labor, material costs, and manufacturing overhead allocation🔲 Budget for individual departments and allocate overhead costs accordingly5️⃣ Financial Statements & Reporting🔲 Translate the budget into key financial statements: Income Statement, Balance Sheet, & Cash Flow🔲 Establish a structured reporting process to communicate budget-related information to stakeholders🔲 Create a visual budget performance dashboard to quickly assess the financial performance6️⃣ Monitoring & Analysis🔲 Regularly monitor and analyze budget variances to identify deviations🔲 Perform sensitivity analysis to understand potential impacts on the budget🔲 Leverage financial data analysis tools to identify trends, patterns, and opportunities for improvement7️⃣ Communication & Collaboration🔲 Foster open communication and shared financial goals in relationships, both internally and externally🔲 Engage with stakeholders from different departments to gather valuable insights🔲 Develop and communicate clear budgeting policies and procedures8️⃣ Final Review & Implementation🔲 Review the budget for any inconsistencies or errors🔲 Communicate the finalized budget to all relevant departments and ensure its implementation👉 Did I miss anything?Get this checklist to organize your budget process.

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