A comprehensive workflow guiding businesses on the creation of a cash flow projection template for robust financial planning and reporting.
1
Identify historical financial data of the business
2
Analyze past financial performance
3
Forecast future income
4
Forecast future expenses
5
Calculate expected cash inflow
6
Calculate expected cash outflow
7
Prepare an initial cash flow statement
8
Adjust variables based on economic conditions and business goals
9
Approval: Finance Manager for preliminary cash flow statement
10
Revise the cash flow statement based on Finance Manager's feedback
11
Calculate final cash inflow and outflow
12
Draw the final cash flow projection
13
Incorporate the cash flow projection into the business plan
14
Approval: Senior Management for final cash flow projection
15
Incorporate any Senior Management feedback into final projection
16
Finalise the cash flow projection template for the business plan
17
Prepare a comprehensive report on the entire process
Identify historical financial data of the business
This task involves gathering and documenting the historical financial data of the business. It is important to know the past financial performance in order to make accurate projections. The desired result is a complete collection of relevant financial data. What tools or resources will you use to gather this information? What challenges might you face and how will you overcome them?
1
Balance sheet
2
Income statement
3
Cash flow statement
Analyze past financial performance
This task involves analyzing the past financial performance of the business. It is necessary to understand trends and identify areas of improvement. The desired result is a comprehensive analysis of the past financial performance. How will you analyze the financial data? What insights do you hope to gain?
1
Identify revenue trends
2
Identify expense trends
3
Assess profitability
4
Evaluate liquidity
5
Identify financial risks
Forecast future income
Forecast future expenses
Calculate expected cash inflow
Calculate expected cash outflow
Prepare an initial cash flow statement
Adjust variables based on economic conditions and business goals
Approval: Finance Manager for preliminary cash flow statement
Will be submitted for approval:
Prepare an initial cash flow statement
Will be submitted
Revise the cash flow statement based on Finance Manager's feedback
Calculate final cash inflow and outflow
Draw the final cash flow projection
Incorporate the cash flow projection into the business plan
Approval: Senior Management for final cash flow projection
Will be submitted for approval:
Incorporate the cash flow projection into the business plan
Will be submitted
Incorporate any Senior Management feedback into final projection
Finalise the cash flow projection template for the business plan
Prepare a comprehensive report on the entire process
