Entering fixed amount revenue

When forecasting revenue for a business with predictable income streams, the Fixed Amount revenue model can be an effective option. It is ideal for revenue that remains consistent over a period, such as lease payments, contracted services, or other recurring fixed income.

This revenue type allows you to enter earnings that remain constant over a selected period. Upmetrics gives you two ways to set up the revenue stream: you can describe your revenue and let Finance AI draft the revenue groups and streams, or you can create them manually.

Adding a Fixed Amount Revenue

Creating Fixed Amount Revenue with Finance AI

1

Go to the Finance Forecasting module, select the Forecast tab, and open the Revenue section.

You will see a guided revenue setup asking What does your business sell?

2

Enter a short description of the revenue your business expects to receive. Include details such as the revenue source, expected amount, frequency, and whether the amount remains fixed over time.

Once you have entered the details, click Draft my revenue.

TIP: Mention that the revenue is fixed or recurring and include the expected amount and frequency. This helps Finance AI create a more relevant starting point.

3

Finance AI will create a suggested starting point for your revenue forecast.

Review the proposed revenue group, stream name, amount, and other assumptions. You can click the Edit icon next to a stream to make changes before adding it.

If the suggestions look correct, keep the required streams selected and click Add these streams.

NOTE: The suggested figures are only a starting point. Review the assumptions and update them to match your actual business expectations.

4

The selected revenue groups and streams will be added to your forecast.

From the Revenue section, you can review each stream and update its assumptions whenever required.

Creating Fixed Amount Revenue Manually

1

If you do not want Finance AI to draft your revenue streams, click I'd rather set it up myself from the revenue setup screen.

2

Enter the name of your Revenue Group, then enter at least one revenue stream inside that group.

You can click Add another stream to add more streams to the same group or Add a group to create another revenue group.

When you are ready, click Create these.

3

Upmetrics will create the revenue stream and open its Assumption window.

Under Basic Info, review the revenue stream name and select Fixed Amount as the Revenue Stream Type.

4

Enter the revenue amount and select whether you want to forecast it on a monthly, quarterly, or yearly basis.

• Constant Amount: Use this option when the revenue remains unchanged over time.
• Varying Amounts Over Time: Use this option when the revenue is expected to increase or decrease over time.

For a fixed recurring revenue stream, select Constant Amount and enter the applicable amount.

5

Enable the applicable settings for sales tax and refunds based on your business requirements.

• Sales Tax Collection: Enable this option if you are required to collect sales tax on the revenue stream.
• Refunds Tracking: Enable this option if you expect to issue refunds against this revenue.

6

Set the Start and End periods for when the revenue stream should apply.

Once all the information is entered, click Save to apply the assumptions.

7

After saving, the forecast sheet will open. Review the calculated revenue values and make any necessary adjustments to your forecast.

Once saved, the fixed amount revenue stream will appear under its revenue group in your forecast. You can open the stream again whenever you need to review or update its assumptions.

Where does this entry appear in the financial statements?

Your revenue streams are used to populate the applicable revenue figures in the Profit & Loss and Balance Sheet reports.