Flyscan Secures $4.3 Million in Venture Capital Funding with Strategic Investor Enbridge
As the President of Flyscan Systems, (a Benzene threat and leak detection platform), Eric Bergeron, planned this round of financing. He turned to Cofinia’s finance team to help him come up with a simple and effective, yet flexible and realistic financial model.
Why Use a Dynamic Financial Model?
But why should you choose this type of model? The first significant advantage of Cofinia’s model is that it integrates your company’s actual results and projections with every update. Moreover, there are several other good reasons: speed of action and reduction of handling time, an intelligent model that adapts to reality and evolves with its speed, which enables multiple financial modeling according to different scenarios, and finally, a model that supports negotiations while supporting the valuation of the company.
What Are the Benefits of the Dynamic Financial Model?
Speed of action and reduced handling times are essential in a funding round context. Negotiation processes with various stakeholders result in many iterations of models, from large changes to small ones. Either way, it is unimaginable to take several hours for a minor adjustment; the momentum must be there.
It is also essential to opt for an intelligent model in its structure and organization. A financial model cannot be static and remain fixed on the moment it was created; it must be able to take reality into account as actions and decisions are taken. It’s no secret to any entrepreneur: a round of financing, no matter how well planned, can take many months to close, can change partners along the way, can change R&D projects, or can encounter major unforeseen events whose impacts must be considered (Covid-19!).
Finally, a good, flexible and intelligent financial model will allow the company to know exactly where it stands and whether it is in a good position… at least until the financing is completed. In other words, a good model allows you to make informed decisions to ensure the continuity of your business.
Cofinia, an Effective Business Partner
In the case of Flyscan, Eric Bergeron and his team really did all the work in terms of approaches; Cofinia’s team only accompanied and supported them in this long process with its financial model.
Audits, due diligence, BDC’s seal of approval on Cofinia’s financial model, the challenge of assumptions, negotiations and the various iterations of the model according to requests and decisions allowed Flyscan to move forward in their financing process.
You have a financing or investment project, questions or a need for support? Do not hesitate to contact us for more information!