Example · Digital agency · 18 people · Tallinn
Two developers at once, or one now and one in January?
A digital agency of 18 planned to hire two developers in September. The forecast showed the cost of two, €10,704 a month, and the low point it would reach.
Virve Digital OÜ
- €10,704
- a month: the true cost of two hires
- €19,600
- lowest balance in 90 days, not €6,200
- January
- the second hire, after a retainer
1The situation
Eighteen people and an average €118,000 a month coming in, but by project: two of the last six months brought in much less. They planned to hire two developers in September.
How they worked before
- Income was judged by its monthly average, though it came by project.
- A hire was costed at its gross salary.
- Scenarios were built in a spreadsheet, one at a time, when there was an evening for it.
2What Profflow showed
- 01Two developers at €4,000 gross cost €10,704 a month with social tax and unemployment insurance.
- 02Fixed costs were already €95,000 a month: payroll and TSD €86,000, the rest €9,000.
- 03With both hires the 90-day forecast fell to €6,200 in mid-November.
The days of the case
- August
The owner asks the AI CFO: two developers at €4,000 gross, from September, can we afford them?
- August
The answer counts the social tax and the unemployment insurance: €5,352 each, €10,704 a month for two.
- August
Fixed costs are already €95,000 a month. With both hires the 90-day forecast falls to €6,200 in mid-November.
- August
The same question with one hire gives a lowest point of €19,600, €13,400 more room.
- September
The first developer starts.
- January
A client signs a monthly retainer and the second developer starts.
What changed in the work
Income judged by its average
The 90-day forecast shows the lowest day, not the average
A hire costed at €4,000 gross
A hire costed at €5,352, with the social tax and the unemployment insurance
One scenario at a time in a spreadsheet
Both scenarios from one question, side by side
The decision rests on a feeling
The decision rests on the lowest balance of the next 90 days
3The outcome
They hired one developer in September and the second in January, once a client signed a monthly retainer. The forecast’s lowest point became €19,600, €13,400 more room in the hardest weeks.
What they used
Other cases
An example company. Names and situations are invented; each sum is counted as Profflow counts it.