8 Best Financial Modeling Software Tools In 2023

8 Best Financial Modeling Software Tools in 2023

Financial modeling is the process of taking existing performance data and using that to create a forecast for a company’s future. To do this, most finance teams today use outdated tools like Excel and Google Sheets when there are much better pieces of software available.

In this article, we will cover the best advanced financial modeling software options and go through their main features, pros, cons, and pricing.

Table of Contents:

Why is financial modeling important?

Financial modeling (and financial modeling tools) provides a better understanding of the implications of various financial decisions. For example, you can use them to compare different strategies and scenarios and compare the potential risks and returns. It can also help businesses plan and forecast financial performance and allocate resources more effectively.

Other advantages of financial models have to do with their ability to communicate complex financial information to stakeholders (including investors, lenders, and management) more easily. In short, financial modeling software can provide businesses with a rigorous and structured approach to analysis and decision-making.

Why is financial modeling software better than Excel and spreadsheets?

Financial modeling software offers several advantages over Microsoft Excel and other spreadsheets, including:

Accuracy: Financial modeling uses advanced algorithms and modeling techniques that can lead to more accurate results.
Efficiency: Because these tools are designed specifically for financial modeling, they can perform calculations much faster and more efficiently than Excel and handle larger datasets without slowing down or crashing.
Automation: Financial modeling software can automate tasks, such as data entry and formula calculations, saving time and reducing the risk of errors.
Collaboration: A financial modeling tool can make it easier to collaborate with others on financial models, mostly thanks to features like version control, comments, and sharing.

Best finance modeling software

There are some excellent financial modeling software options out there. So, here are our top recommended products and what each of them offers.

1. Brex

Brex is not specifically a financial modeling software but rather a financial stack that provides a wide range of financial products and services to businesses. Brex has advanced financial modeling capabilities it uses as part of its internal processes and products. For example, you can use this platform to manage corporate credit cards, cash accounts, and expenses.

Brex allows you to, for instance, track your burn rate and runway forecast using modeling and forecasting tools. You can also use this tool to improve visibility and predict outcomes.

Image alt: Brex is a unified platform to manage cards, expenses, travels, and bills.

Key features:

More spend control: Manage expenses, reimbursements, travel, bill pay, and issue cards in +20 currencies, and track everything in real-time.
Moving and storing funds securely: Brex’s business account allows you to keep your funds in multiple FDIC-insured accounts or a market fund backed by the US government.
Syncing and automation: Brex automates with various bookkeeping and accounting tools to offload manual work.

Price:

Brex cards have no user fees and charges no transaction fees for domestic wires. The platform doesn’t advertise its prices for financial planning, so you will need to contact its sales team.

Best For:

Brex is primarily designed for startups and small to medium businesses, offering various powerful tools to support growth and development.

2. Finmark

Finmark is a platform designed to help founders and small companies understand where their business is today, where it can be, and how to plan the path to get it there. This financial modeling and planning solution can forecast and present your company’s finances in a way that is easier to understand and share.

Image alt: Finmark is a financial model software ideal for small businesses.

Key features:

Real-time data and analysis: Finmark centralizes all marketing, sales, and financial metrics to give you a holistic view of your business.
Scenario analysis and comparison: You can use Finmark to create multiple scenarios and compare them using the dashboard.
Revenue forecast: Build and manage accurate, custom forecasts based on sales quotas, marketing performance, pipeline, headcount, and more.

Price:

All of Finmark’s plans include unlimited users, scenarios, and integrations. The price depends on your current annual revenue. For example, for a revenue of $500,000, you would pay $100 a month.

Best For:

With a good range of financial modeling tools and a simple yet robust interface, Finmark is ideal for founders, small companies, mid-sized businesses, and accountants.

3. Jirav

Jirav is an all-in-one budgeting, forecasting, reporting, and dashboarding solution with good financial modeling capabilities.

This integrated and driver-based financial modeling software can help you with cash flow, P&L, and balance sheets and can help you automate your analysis and reporting with multiple planning scenarios.

Image alt : Jirav is a forecasting, budgeting, and financial model solution.

Key features:

Budgeting and planning: Jirav supports 3-statement, pro-forma modeling to create leadership-approved plans more easily. You can also create multiple scenarios based on board or leadership input.
Forecasting: The solution includes mid, long-range, and rolling forecasting models to measure and manage cash flow statements and evaluate working capital assumptions and financial statements.
Dashboarding and reporting: Jirav can also be used to streamline your monthly close process by eliminating the stress of manual reporting. The solution includes industry-specific templates and good sharing tools.

Price:

Jirav offers two main plans. The Starter plan costs $10,000 a year and offers planning and reporting (performance vs actuals). The Pro plan costs $15,000 a year and adds multi-year plans and scenarios and departmental budgeting. There is also an Enterprise plan (contact them for a quote) for more complex planning and integrations.

Best For:

Jirav is a good solution for small and mid-size companies, modern accounting firms, and VC-funded companies.

4. Causal

Causal is a business planning platform that connects directly to your data so you can use and share financial modeling dashboards and output beautiful visuals.

You can compare Causal with Excel in the sense that they both share a simple interface, but Causal uses fewer formulas with fewer errors and allows you to run what-if scenarios in real-time. Plus, you can integrate data from your CRM, your accounting system, and your data warehouse.

Imge alt: Causal is a good alternative to Microsoft Excel for financial modeling spreadsheets.

Key features:

Scenario planning: The solution can help you set up unlimited driver-based scenarios and explore the possible outcomes. For uncertain drivers, you can use ranges, too.
Data consolidation: Causal can pull financial data directly from your CRM, data warehouse, and various business entities to build fully integrated models. The platform also supports model versions and re-forecasts.
Interactive dashboards: You can use this tool to generate charts and tables and produce custom views and permissions for each of your stakeholders. Additionally, you can embed live Causal charts into websites and documents.

Price:

Causal has a free financial modeling software plan that includes five models, 50 category items, and unlimited dashboards. There is also a Startup plan that, for $250 a month, adds two members, 15 scenarios, 200 category items, and standard data integrations. You can also get in touch to design a custom plan to suit your needs.

Best For:

Causal is best suited to high-growth teams that want to streamline their FP&A processes – from startups to IPO.

5. Forecastr

Forecastr is a financial model tool that allows your business to budget expenses, understand growth, and simulate exit based on industry benchmarks.

You can also use this software to track KPIs and goals and raise money more easily.

Image alt: Forecastr is a good tool for financial analysts and small companies.

Key features:

Revenue forecasting: Forecastr takes a “built-with-you” approach to financial modeling. For one, you can customize the models to fit your unique needs and connect with your CRM, Analytics, and Marketing Data platforms.
Investor reporting: The platform supports investor-access links and dashboards so you can package all information you want them to see to help them make faster decisions.
What-if scenario analysis: You can use Forecastr to create as many financial forecasting models as you like, either using templates and expert recommendations or starting from scratch. You can also compare forecasts in a single view.

Price:

Forecastr does not show pricing information on its website. If you want to find out more, you will need to sign up for a demo and talk to a sales representative.

Best For:

Forecastr is an excellent tool offering financial models and future performance tools for founders and small businesses.

6. Google Sheets

Google Sheets is a cloud-based spreadsheet program that allows users to create, edit, and share spreadsheets online.

It is a popular tool for financial modeling, as it offers many of the same features as Microsoft Excel, but with the added benefit of being free and easily accessible from any device with an internet connection.

Image alt: Google Sheets can help you make better informed business decisions for free.

Key features:

Formulas and functions: Google Sheets includes a good range of formulas and functions designed for financial modeling (for example, you can calculate present and future values, interest rates, and other financial metrics)
Data import and export: The tool allows users to easily import and export data from other sources, such as Microsoft Excel spreadsheets or CSV files.
Collaboration and sharing: Google Sheets makes it easy to collaborate with other users on financial models, as many people can work on the same spreadsheets simultaneously.

Price:

Google Sheets is free for personal use and costs $12 per month per user.

Best For:

Due to its extensive feature range and ease of use, Google Sheets is a good product for individuals and businesses of all sizes.

7. Baremetrics

Baremetrics is a software-as-a-service (SaaS) solution providing analytics and insights for subscrption-based businesses.

This platform integrates with payment processing systems (like Stripe and Braintree) to generate real-time metrics and reports on key business performance indicators.

Image alt: Baremetrics is an excellent financial mdoeling tool for analyzing data.

Key features:

Segmentation: You can organize your customers to generate comparative insights across different dashboards (you can choose between any custom segment and access history as well).
Forecasting: Baremetrics can help you make better-informed decisions and scale safely by accessing various configurable options such as growth type, length of time, and churn percentage.
Benchmarking: Compare your company against industry competitors, set high-level goals, and discover areas for improvement.

Price:

You can start with Baremetrics’ core suite of metrics tools and add more modules as you grow. The price depends on your current MMR. For example, for a $100K MMR, you would pay $416 a month (for the Metrics product, which allows you to create models and manage dashboards).

Best For:

Baremetrics is an excellent choice for small and medium businesses and finance teams that prefer a subscription-based software option that can grow as they do.

Bottom line

Financial modeling software offers numerous advantages to businesses, including the ability to get a more precise understanding of the implications of various decisions.

If you’re looking for a platform that provides a range of financial products and services, we recommend Brex.

Brex will help you manage your finances more efficiently and provide you with all the control you need to support growth. If you’re looking to level up your finance team, get started with Brex today.