scenario modeling is a must for any PE evaluation model. E.G. What factors need to be adjusted if i assume 7 year hold and sell that will produce the best result. After adjusting the model to achieve the optimal results what changes must I make to the company to achieve that future state model. Which will then require the analyst to determine the transformation activities and the cost associated with the transformation to achieve the future state.

Clearly a model that allows me to capture information at various levels of detail and provide forecasts based on the information available is needed in many pursuits for a variety reasons. The reasons range from; corrupted financial detail to company will release the details before receiving a LOI from the PE firm.

Food for thought; Many times i will evaluate business lines within a company to determine which lines i want to retain.

The variables, i believe, would apply to most any company. Have you tested the model against software company.