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Specialty retailer financial model, built free.

A three-statement Excel model for a specialty retailer, built from your own figures and checked to balance.

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  • 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

Sells a focused category (consumer electronics and gaming, sporting goods and outdoor, beauty, books and stationery, toys, crafts and hobbies, homewares or auto parts) through stores and online, earning merchandise margin plus supplier rebates, services and warranty income.

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, on illustrative figures: every sheet as Excel draws it, or live.

Annual · 10 years · Low detail
Specialty retailer sample model.xlsx
The Summary sheet of the sample specialty retailer model

Illustrative figures: the sample describes no real business. The live preview shows values; your model’s Excel file has every formula.

How it works

How the model works for a specialty retailer.

  1. How it earns revenue3 formulas
    Sales · All store formats
    SalesSales from mature storesSales from ramping stores
    Concessions, services and other retail income · All store formats
    Concession, services and other retail incomeSalesfrom salesOther retail income (% of sales)
    Loyalty, gift cards and memberships · Across the business
    Loyalty rewards deferred from revenueSalesfrom all unitsLoyalty reward cost (% of sales)
  2. What drives its costs3 formulas
    Cost of goods sold · All store formats
    Cost of goods soldSalesfrom salesGross margin
    Store and channel operating costs · All store formats
    Store operating costsStore wagesRentOther store costsVariable store costsPre-opening costs
    Marketing and customer acquisition · All store formats
    Marketing and customer acquisitionCustomer acquisition spendRetention marketing
  3. What it invests in3 formulas
    Store capex and depreciation · All store formats
    Store capital expenditureNew-store fit-outsRefurbishmentsMaintenance capex
    Store capex and depreciation · All store formats
    Less depreciationDepreciation (run-off of a mix of vintages)Depreciation
    Store capex and depreciation · All store formats
    Closing net book valueOpening net book valueAdd capital expenditureLess depreciation
  4. How it is funded3 formulas
    Debt
    Closing balanceOpening balanceDrawdownsRepayments
    Debt
    Interest expenseOpening balanceAll-in interest rateshare of the year
    Dividends and distributions
    Closing dividends payableOpening dividends payableDividends declaredDividends paid
  5. How profit becomes cash3 formulas
    Working capital
    Trade receivablesRevenuefrom statementsDebtor daysDays in period
    Working capital
    InventoryDirect costs (positive)from statementsInventory daysDays in period
    Working capital
    Trade payablesCash operating costs (positive)from statementsCreditor daysDays in period
What it covers

31 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.

  • CPI forecastCPI glide path
  • Corporate costsFixed cost base indexed to CPI
  • Working capitalDays-based working capital
  • Income taxCorporate rate with tax losses
  • Corporate fixed assetsStraight-line over remaining life
  • DebtSingle debt facility
  • Dividends and distributionsPayout of net profit
  • Discounted cash flow valuationDCF on free cash flow to the firm
  • Multiples valuationEV / EBITDA multiple
  • LeasesLease register
  • Key-metric summaryLast-twelve-month and run-rate metrics
  • Budget phasingSeasonal profile of twelve monthly weights
  • Covenant tests and headroomLVR, gearing and ICR for property
  • Sources and uses at completionEntry multiple with debt sized in turns of EBITDA
  • Management equity and ratchetsFixed management share or option pool
  • Exit valuation and timingExit multiple of LTM EBITDA
  • Sponsor returns and value creationValue creation bridge
  • SynergiesRun-rate synergies with phasing
  • Discount rate (WACC)CAPM at target gearing
  • Seasonal phasing of salesHistorical monthly profileHow annual sales — and the stock and cash that follow them — are spread across months or quarters.
  • InventoryStock per store plus DC stockStock held in stores, distribution centres and in transit, and the cash it ties up.
  • Loyalty, gift cards and membershipsLoyalty cost % of salesCustomer programs that defer revenue — loyalty points, gift cards and paid memberships — and the liability they create.
  • Store networkScheduled openings and closuresStores trading in each period — openings, closures and selling area — which every per-store driver multiplies.
  • SalesSales per store with like-for-like growth and new-store rampSales of the format — stores, restaurants, cafés or an online channel — the revenue base of every retailer.
  • Cost of goods soldGross margin %Cost of the goods (or food) sold by the format, after supplier terms, freight, markdowns and shrinkage.
  • Store and channel operating costsPer-store wages, rent and other costsCosts of running the format — store wages, rent and occupancy, running costs, or an online channel's fulfilment and platform costs (rent here is the pre-AASB 16 cash view).
  • Store capex and depreciationNew-store fit-out, refurbishment cycle and maintenanceFit-out spend on new stores, refurbishments and maintenance, and the depreciation and book value of store assets.
  • Like-for-like growth driverInflation plus volumeLike-for-like (comparable-store) growth built from its drivers — price, volume, traffic, ticket, macro.
  • Marketing and customer acquisitionNew customers × CAC plus retentionSpend on acquiring and retaining customers — media, catalogues, paid search and social, affiliates and CRM.
  • Concessions, services and other retail incomeOther income % of salesIncome earned alongside merchandise sales — concession commissions, extended warranties, consumer-finance commissions and delivery or installation services.
  • Store and unit economicsFour-wall (store) EBITDAFour-wall (store) profit and the return on each new store or restaurant — the unit economics that support a roll-out, a franchise system or an online channel; reporting only.
Key numbers

The numbers it tracks.

  1. 01sales per store
  2. 02LFL growth
  3. 03gross margin %
  4. 04CODB % of sales
  5. 05EBIT margin
  6. 06online share of sales
  7. 07new-store payback
Used for

What it is used for.

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See a finished model, sheet by sheet

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.