As Related to Commercial Mortgage:

A Proforma Income Statement is an "as if" or projection of the income and expenses to be generated by a proposed project. In Commercial Mortgage, a property's ability create income is one of the most important factors in determining whether or not the project will receive financing.

A standard Proforma Income Statement on a income property, like a strip mall, will include:

1. Gross Possible Income

2. CAM charges

3. Taxes

4. Insurance

5. Maintenance

The ultimate goal of the Proforma is to provide a relatively accurate projection of the Property's Net Income.