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Budgeting for capital expenditures
When implementing large investment projects for a company, it is important to estimate the overall budget of the project with sufficient accuracy, taking into account the stage of the project’s implementation, and formulate an appropriate funding plan.
Errors in determining the volume of capital investments can have a significant impact on an investment project’s KPIs and can thus lead to management decisions with adverse consequences.
Depending on the stage of the investment project (Initiation, Assessment, Selection, Evaluation, and Implementation), the approach to formulating a capital expenditure budget differs, since it depends on the availability of the source documentation. With an understanding of the scope and degree of detail of the source documentation, we draft the project budget based on similar projects, aggregated quotes, commercial proposals, detailed calculations, etc.
Our team of cost engineers and specialists in the field of economics and finance has experience in budgeting for projects in various industries. We help our clients to formulate their capital expenditure budgets at various stages of project implementation and/or conduct an independent budget analysis.