Cash Flow Forecasting

Cash flow is the "life-blood" of all businesses particularly start-up and small businesses. If a business runs out of cash and cannot obtain new finance, it will face insolvency.  It is vital that the management forecast cash levels. The frequency of forecasting depends on the financial security of the business. 

We can assist with the following:

• Identify potential shortfalls in cash balance, which is the most important reason for a cash flow forecast. The is the most important reason for forecasting.
• Make sure that your business can afford to pay suppliers and employees.
• Identify problems with customer payments. Forecasts encourage the business to look at how quickly customers are paying their debts.
• Providing external stakeholders such as banks who may require a regular forecast.