Cash flow forecasting template
Cash flow forecasting is the key to understanding where your money is in your business.
A Cash flow forecast is used to predict your business’s future financial position for the period ahead. Your forecast allows you to see what money you expect to be paid into the business and the amount you’ll need to payout. It’s a useful tool to help you manage your business more effectively.
The process of predicting cash is a valuable exercise because:
- It allows you to see when you are likely to have a problem with cash over a longer period than predicting the cash burn rate.
- It will show you how cash-viable your business is, and how likely you are to have a problem, if any.
- By knowing the size and the length of the problem, you can then plan to do something about it.
- Banks and Lenders will appreciate that you have a handle on things if you can show them that the future position is temporary and that you are predicting problems.
To help you on your cash flow journey we have put together a detailed cash flow forecasting guide and template that will allow you to become a pro with cash flow, which intern will benefit your business and allow you to make a smarter decision in your business based on your cash flow.
