SALES FORECAST
Use the numbers you already have.
Use growth for an existing sales run rate. Use weighted pipeline for open deals with a real close-rate history.
GROWTH FORECAST
Project month by month.
Each month starts from the one before it, so the growth rate compounds.
WEIGHTED PIPELINE
Use the close rate you have earned.
Open pipeline multiplied by historical win rate gives a more useful number than pipeline alone.
- Open pipeline
- $500,000
- Historical win rate
- 30%
- Weighted forecast
- $150,000
MAKE IT USEFUL
Update it when the pipeline changes.
Close rate, deal size, and sales cycle all move the result. Change those first when the forecast looks wrong.
Growth forecastBest for recurring or steady monthly sales
Weighted pipelineBest for opportunity-based B2B sales
Use historical dataTargets are not the same as a forecast
QUESTIONS
Sales forecast questions
How do you forecast sales from growth?
Start with your latest closed period and apply the expected growth rate for each future period. A monthly forecast compounds the rate each month, so every projected month becomes the baseline for the next.
How do you calculate a weighted pipeline forecast?
Multiply the value of open pipeline by the historical win rate. For example, a $100,000 pipeline with a 25% historical win rate produces a $25,000 weighted forecast.
Which win rate should I use?
Use the close rate from decided opportunities that resemble your current pipeline. A target close rate or an all-time average from a different sales motion makes the forecast less useful.
Why does the sales cycle matter?
It helps spread weighted pipeline over time. A $60,000 weighted pipeline with a 60-day sales cycle cannot reasonably be expected to close in one month.
Is a sales forecast guaranteed revenue?
No. A forecast is a planning estimate based on stated assumptions. Revisit it as pipeline quality, win rate, pricing, or sales-cycle timing changes.