Identify your assumptions; in every finance model, these are always your main focus.
Key assumption, cost inflation, rate of growth, and in terms of interest rate may either depend on what that purpose will be in respect of using the model and any of these is subjected on very realistic, robust and good research work as assumed by the data provided; example, revenue increase- here, there factors in which the increase becomes reality as in relation with its demands, prices implemented as well as competitors are around. Ensuring that these assumptions are realistic—and not overly optimistic—will ensure model reliability and lends credibility to projections.
4. Logical Structuring and Formulas: A clear, logically structured model is easier to work with, understand, and verify. Use separate tabs for different parts of the model, such as for assumptions, calculations, outputs, and organize them appropriately. Ensure that all of your calculations and formulas have been checked for consistency and errors. Functions like SUMIF, INDEX, MATCH, and IFERROR make it possible to create models that are dynamic and easily adaptable. Where appropriate, use cell references rather than hard-coding values: this will make your model more adaptable.