It is a tool that estimates the profits an investor can expect to receive from their initial investment, taking into account expected returns and fees. It is important to exercise caution and thoroughly research any investment opportunity before committing funds.
By providing a clear breakdown of costs and revenues, you can input their estimates and receive a calculated projection of their profits. This can aid in decision making, such as determining whether a project is financially viable or if changes need to be made to improve profit margins.
By providing you with a tool that allows them to independently calculate their profits, it fosters transparency and builds trust in the business relationship. You can be confident that they are receiving accurate information and can make informed decisions based on this information.