2-Sided Marketplace Financial Model Template
The two-sided marketplace has become an increasingly popular business model in the entrepreneurship community. The proliferation of smartphones and other connected devices has created new opportunities for buyers and sellers to find and transact with one another. With the rise of this popular architecture also comes new challenges in constructing a successful business model. It's harder to please two customers than one. This is why we've created the two-sided marketplace financial model template; to help make things a little easier.
Our simple template enables you to test the profitability of a variety of different transaction methods with buyers and sellers before you lift a finger. All you have to do is insert some of the pre-built business model components we've created for you, adjust your assumptions, and an entire financial analysis is created for you. No need for a background in finance, or experience handling complicated spreadsheets.
How the Two-Sided Marketplace Financial Model Works
We know you have better things to do than mess around with a financial model, so we've built this template to be as simple as possible, no matter your background. Getting started is easy, and all you need to know is how you think your business should operate.
The two-sided marketplace financial model uses a bottom-up method to generate its financial projections, and breaks up your assumptions into four primary areas:
Customers - Unlike more traditional business models, which only need to attract one type of customer, two-sided marketplaces need to attract both buyers and sellers. The increased resources required to build twice the customer base can be quite costly and is a key aspect of the model you'll want to get right. Thankfully our two-sided marketplace template allows you to model a wide range of scenarios, so you get it just right. Create any number of customer acquisition channels, and forecast how many customers you'll get from each.
Revenue - Much like the customer's section, you'll be able to mix and match a wide array of different transaction types to build your revenue model. Want to charge buyers a flat transaction fee while charging sellers a subscription? No problem! Just select the appropriate transaction type, and apply it to the right customers.
Costs - The template also allows for a great deal of flexibility in forecasting expenses. Need to apply a cost as a percentage of revenue? Or, how about an expense applied to each transaction? All of the possibilities are simple to set up with the two-sided marketplace financial model.
Investments - One of the harder things to do when creating financial projections is handling the balance sheet. With this template, you can add asset purchases, loans, and equity investments in a matter of seconds. Whether you want to want to purchase a computer for every employee, or you'd like to add some investment capital to see how it affects your runway, it's all possible.
Automatic Pro Forma Financials for Your Two-Sided Marketplace
All of your outputs from the model are automatically generated. You'll receive full pro forma financials broken down by month, a dashboard summary of the financial results, and calculated metrics. Here are some of the things you can expect to receive:
- Profit and Loss (P&L) Statement
- Balance Sheet
- Cash Flow Statement
- Profit trend analysis, broken down by month
- Customer Acquisition analysis
- Charts, graphs, dashboards, and much more!
Everything is even downloadable to MS Excel. Get started today!