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Production control and Financial Forecasting for Your Company

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Although the 10 Year Annual Winery Forecast is annual rather than monthly, it is still very useful for strategic planning issues, and it is easier to implement than the VIRTUALWineryV3 model .  The 10 Year Annual model includes the capability to forecast the development of up to 3 vineyards and has provision for a line of credit, mortgage and an equipment lending line.  Of course the forecasting is not as accurate as the VIRTUALWineryV3 model  because the model computes annually rather than monthly, provides only 10 products and 4 sales channels.  But, it does do a credible job of allocating sales and costs between years, is really easy to implement, and is still far more sophisticated than any other winery forecasting tool available (other than the VIRTUAL Winery, of course).

DO YOU NEED the VIRTUAL Winery V3 Model ? - The VIRTUALWineryV3 model is intended for larger winery operations with many products and complex blending and forecasting requirements.  VIRTUALWineryV3 model forecasts sales, production and financials monthly for 120 months, provides for unlimited products, seven sales channels, five production cost centres (v. 3 for the annual model),  four SG&A departments (v. 2 for the annual model) and and includes an automated budgeting module that offers 5 methods to compute forecasted amounts dependent on up to 20 production and financial variables forecasted by the model.  OK, if this is all Greek to you, you should probably use the 10 Year Annual Model.  If your sales exceed 10,000 cases, you probably need the VIRTUALWineryV3 model.

The 10 Year Annual package includes the folowing features:

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Polished presentation including cover page, report index and a well designed single page summary of the results;

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Complete financial reporting including Balance Sheets, Cash Flows, Income Statement and Expense and Allocation Reports for each cost centre;

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Five cost canters including Sales & Marketing, General & Administrative, Cellar & Crush, Crop & Harvest, and Barrel;

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The model will handle up to ten wine products and each product can include blends from one vineyard, three grape and three bulk sources;

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Provides for the Winery's opening balance sheet including bottled inventory, wine in process, property & equipment, and liability accounts;

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Up to 3 vineyard projects can be modelled including the calculations for financing, capitalization of crop and interest expenses incurred during the development phase and depreciation;

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Provides for additional financing from up to 5 sources including inventory credit line, three term loans, equipment and barrel credit lines;

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Complete capital budget for 10 asset classes including computation of depreciation and allocation to the appropriate cost center;

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Computes both new and older barrel requirements for forecasted production, adds barrels required to the capital budget and computes depreciation;

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You can create and recall any number of forecast scenarios;

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The entire model is a single relatively compact Excel file, is completely menu driven and provides for easy navigation between worksheets.

 

My thinking is that once you are introduced to the concept of financial and production forecasting using this simple model, you can make a relatively painless transition to the VIRTUAL Winery product.

The model is a .zip file and after downloading it must be extracted to a directory named C:\VWAnnual.  After you open the VWAnnualV12.xls, you can print or preview the entire model simply by selecting Print/Preview Reports from the ColdMountain menu.  Also, take a look at the Navigation sheet (it is very COOL!)

Download the 10 Year Forecast

 

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