The aim of this report is to give you a snapshot of the financial position of your business at any time. It gives you essential information on the cashflow position of your business allowing you to make
confident day to day decisions.
Budget Comparison Graph
On the left, the report gives a graphical budget to actual comparison report. This is comparing your actual cashflow position against your budget that you created at the start of the financial period you are reporting on (calendar year or financial year).
1. This is comparing your actual cashflow position against your budget on a month to month
2. This is comparing your actual cashflow position against your budget on a cumulative basis.
Estimated Cashflow Position
3. On the left is a table that takes all your known and forecasted income and expenditure and
uses it to calculate your estimated cashflow position at the end of your current month. It then adds in your overdraft limit to give you a working capital buffer. Basically, it tells you the answer to the question “Based on my known and forecasted income can I pay my bills this month?”
4. To back up your estimated cashflow position, the bottom left of the report gives you a
summary of your accounts receivable.
This shows how much you have invoiced this month, how much has been paid and whether you are
being paid on time.
So, in short, it answers the question “How much money am I owed and are my customers paying me
Now you have an estimation of cashflow position you can use more specific reports to diagnose and plan, we mentioned some of these in the sections where they are relevant above:
- Aged debtors reports (Invoicing).
- Stacked reports.
- Budgets ( including budget comparisons).
- Accounts payable reports.
The Cashflow Forecast is a keystone report in the Analysis part of the Plan, Do, Analysis, Adjust
Continue to Create Cashflow Forecast Report.