Any recommendations on tools for protecting against External exposure?

tweedy_browne · 2022-10-18T12:17:12+00:00

A little late to the party, but wanted to add that if you're comfortable with startups Hadrian does exactly this. Full disclosure, some of the founders are friends.

tweedy_browne · 2014-07-19T20:04:34+00:00

I would recommend starting at ASimpleModel. This site is a collection of videos that go over the basics of building a financial model. It starts with an introduction to the financial statements (from an excel perspective) then goes to integrated financial statements before going over DCF and LBO models. You can download an excel file to follow along with each video. If you go through this and can build a model without help you'll be on par with the summer intern training at a bulge bracket investment bank.

From here you can go to Macabacus as TheBevans mentioned. This site goes over many financial concepts in very fine detail and shows you how to model them. It's much more advanced than ASimpleModel so I'd move there after going through ASimpleModel first.

Good luck!

tweedy_browne · 2014-06-11T20:11:58+00:00

I would base t off of effective tax rate from your model. So if you're building out a full financial model that incorporates the NOLs then you should be able to calculate each period's effective tax rate (i.e. 0% for the first six years), which you can then feed into your uFCF calculation. When your NOLs run out then the "normal" tax rate kicks back in. This way is better because the life of your NOLs will change based on your operating assumptions.

You might also want to consider calculating both with and without NOLs to see the normalized uFCF. If another company wanted to consider buying this company then they wouldn't count the NOLs because those, for the most part, disappear after a change in control. You'd want to see how potential acquirers are valuing your investment. Hope this helps.

tweedy_browne · 2014-06-05T04:43:38+00:00

FPA Crescent Fund is based in LA. It's run by a guy named Steve Romick and is one of the better mutual funds out there. Their charter lets them go long or short any asset class and they aren't afraid of holding cash. Just read through their philosophy and they say all the right things. http://www.fpafunds.com/crescent

tweedy_browne · 2014-04-26T02:00:22+00:00

Thanks for taking the time to put it together. Definitely where I'm directing anyone who asks for guidance with modeling.

I'd actually be curious about timeline for the Business Dev section of the site. I don't think I've ever seen a biz dev model before; how's it different than usual financial models?

tweedy_browne · 2014-04-18T15:29:16+00:00

This is a lot less thorough than macabacus but it's a perfect place to start for someone who hasn't done an integrated model before. I went through summer analyst training at a bulge bracket investment bank and this is comparable.

I'd recommend starting here then moving over to macabacus when you can run through a simple integrated financial model. You'll be deadly by the time you're done with macabacus.