Cashflow

A business can be profitable but still encounter cash flow issues and so it is important that you remain focused on managing cash flow at all times. Do you operate on a day to day basis with a money in money out approach, and if there is anything left over then that is your reward? Do you need to look forward to see what sales income you are expecting, how you are going to pay your bills, what will be left over for yourself and what the timing of all this will be? Do you want to see if you can afford an expansion project planned for next year out of current operating funds or if you need to organise a line of credit now. Bookkeeping and More can prepare detailed forecasts and budgets for you to assist you in business planning into the future.  

Cash flow Forecasting

A cash flow forecast is the most important tool for business; cash flow planning is essential for business success. The forecast will predict if your business will have enough cash to support the operations of the business or for other activities you plan for the business such as expansion. It will also indicate any cash flow gaps the business may experience – periods when cash outflows exceed cash inflows.