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The Financial Modeller
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Banking and lending

Neobank financial model, built free.

A three-statement Excel model for a digital bank or neobank, built from your own figures and checked to balance.

  • Free account
  • No card
  • Usually ready within the hour

We use generative AI in parts of our process, so mistakes can occur. Every model should be checked by a person before it is relied on. Read more

The business

App-only bank (retail or SME) that wins customers with low-cost accounts and cards, earns interchange, subscription and account fees and net interest income on deposits and a growing loan book, and spends heavily on acquisition and technology before reaching profitability.

See the sampleHow the model works

In short

  • 01

    Three linked statements

    Income statement, balance sheet and cash flow, linked in every period.

  • 02

    Valued two ways

    Discounted cash flow and trading multiples, side by side.

  • 03

    Monthly to annual

    Monthly, quarterly, half-yearly or annual periods, for up to 30 years.

  • 04

    Checked every period

    A Checks sheet shows the balance sheet balances and the cash reconciles.

The sample

The sample, as Excel draws it.

Built by the same system and checks as yours: its structure and its inputs, ready for your own figures.

Annual · 10 years · Low detail
Neobank sample model.xlsx
The How It Works sheet of the sample neobank model

The sample describes no real business. Yours is calibrated to your own figures, so its results are your business’s.

How it works

How the model works for a neobank.

  1. How it earns revenue3 formulas
    Loan yield and interest income · All loan portfolios
    Interest incomeAverage gross loansPortfolio yield (base rate + margin)share of the year
    Lending fees and charges · All loan portfolios
    Lending fee incomeEarly repayment chargesProduct transfer fees
    Fee and commission income · Across the business
    Subscription incomeOpening paid subscribersClosing paid subscribersMix-weighted monthly feeshare of the year
  2. What drives its costs3 formulas
    Expected credit loss and write-offs · All loan portfolios
    Closing allowanceClosing gross loans (limits × utilisation)from loan origination and runoffECL allowance coverage (% of gross loans)
    Expected credit loss and write-offs · All loan portfolios
    Credit loss expense (net write-offs + change in allowance)Write-offs (net of recoveries)Closing allowanceOpening allowance
    Expected credit loss and write-offs · All loan portfolios
    Write-offs (net of recoveries)Gross write-offsRecoveries
  3. What it invests in3 formulas
    Corporate fixed assets
    Capital expenditureRevenuefrom statementsCapex as % of revenueAdditional planned capex
    Corporate fixed assets
    DepreciationDepreciation of the opening asset baseDepreciation of new capex
    Corporate fixed assets
    Closing net book valueOpening net book valueCapital expenditureDepreciation
  4. How it is funded3 formulas
    Loan origination and runoff · All loan portfolios
    Closing gross loans (limits × utilisation)Total limitsUtilisation (drawn balances ÷ limits)
    Loan origination and runoff · All loan portfolios
    Net loans advanced (new lending less cash repayments)Closing gross loans (limits × utilisation)Opening gross loansWrite-offs (net of recoveries)from expected credit loss and write-offs
    Loan origination and runoff · All loan portfolios
    Opening gross loans (accounts × limit × utilisation)Open accounts at the start dateAverage limit per account at the start dateUtilisation (drawn balances ÷ limits)
  5. How profit becomes cash3 formulas
    Income tax
    Closing tax lossesOpening tax lossesLosses usedLosses added
    Income tax
    Income tax expenseTaxable profitCorporate tax rate
    Income tax
    Closing tax payableOpening tax payableIncome tax expenseTax paid
What it covers

26 parts, each one tested.

Every part is a tested building block with its own checks: yours is put together from the ones your business needs.

  • Operating expensesHeadcount build by function
  • Income taxCorporate rate with tax losses
  • Corporate fixed assetsStraight-line over remaining life
  • Equity raisingDistribution reinvestment plan
  • Discounted cash flow valuationDCF on free cash flow to the firm
  • Multiples valuationEV / EBITDA multiple
  • Deposit growth and mixDeposit mix by productCustomer deposit balances by product and the interest paid on them.
  • Wholesale funding and liquid assetsFunding gap at base plus spreadWholesale borrowings that fund the gap between assets and deposits plus equity, the liquid assets held for regulatory liquidity, and the interest on both.
  • Fee and commission incomePaid account plansNon-interest income from account, lending, card, trade and wealth fees.
  • Payment volumes and take rateTPV × take ratePayments revenue from total payment volume or transactions, and the interchange and scheme costs against it.
  • Capital adequacy (CET1)CET1 roll-forwardCommon equity tier 1 capital, total risk-weighted assets and capital ratios, and the surplus available for dividends or the shortfall to be raised.
  • Liquidity ratios (LCR and NSFR)Simple liquidity ratiosRegulatory liquidity ratios computed from the forecast balance sheet — the liquidity coverage ratio and the net stable funding ratio, or simpler liquidity holdings for small banks.
  • Customers, accounts and acquisition costMarketing budget ÷ CACActive customers or funded accounts of a digital financial service (neobank, BNPL, broker, crypto or wealth app) and the marketing and onboarding cost of winning them.
  • Lender and bank key metricsNIM bridge by driverNet interest margin, spread, cost-to-income ratio, loss rate and returns for banks and lenders, and their drivers.
  • Key-metric summaryLast-twelve-month and run-rate metrics
  • Case selectionStackable stress toggles
  • Cap tableShare ledger by class and round
  • Burn and runwayRunway to the forecast cash-out date
  • R&D and capitalised developmentGross R&D × capitalisation rate
  • Interest-rate forecastMarket forward curve
  • CPI forecastCPI glide path
  • Risk-weighted assetsStandardised risk weights by bandCredit risk-weighted assets for each loan portfolio.
  • Loan origination and runoffLimits × utilisationGross loans rolled forward from new lending, scheduled repayments, prepayments and write-offs.
  • Loan yield and interest incomeBase rate plus marginInterest income earned on each portfolio from its yield, repricing and fees.
  • Lending fees and chargesEarly repayment and switching feesFee income on a loan portfolio — establishment and application fees, monthly account fees, line and commitment fees on undrawn limits, late and default fees, discount and service fees on invoice finance, and early repayment charges.
  • Expected credit loss and write-offsAllowance coverage and write-off rateCredit loss expense, the expected credit loss allowance held against loans, and write-offs.
Key numbers

The numbers it tracks.

  1. 01customers
  2. 02primary-bank customers
  3. 03deposits per customer
  4. 04revenue per customer
  5. 05CAC
  6. 06cost per account
  7. 07capital runway
  8. 08CET1 ratio
  9. 09path to profitability
Used for

What it is used for.

Also used for
  • Scenarios and sensitivities
Related models

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Every financial services model

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The sample is built on illustrative figures and describes no real business. Models are calculations prepared from the information you provide. They are not financial advice and must be independently verified. See our terms.