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Business Definition for: pro-forma statement

Dictionary of Real Estate Terms
pro-forma statement

(from Latin pro forma, "according to form"). Financial statements showing what is expected to occur, as opposed to actual results.

Example: The broker prepared a pro-forma statement for the prospective purchaser (Table 41). It showed expected cash flows for the property:

TABLE 41
  
PRO-FORMA STATEMENT  
Pro-forma Cash Flow Statement
Next Year, Projected		  
Rental income $10,000
Taxes -$2,000
Utilities -$1,000
Miscellaneous - 500
Subtotal expenses -3,500
Cash flow $6,500
Referring Terms:
budget
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