Using Figurewizard - How the budgeted cash flow forecast is calculated

This describes how figurewizard calculates your forecast cash flow, bank balance, and undrawn cash available from external financial sources.

Budgeted Cash Flow Structure

The budgeted cash flow forecast gives a monthly line by line analysis of all revenues and expenditure. There is a link at the end of this article showing a working example of our budgeted cash flow forecast.

Receipts - All Sources

Cash Out - Purchases
Cash Out - Operating Overheads
Cash Out - Non Operating Costs (eg. Fixed Assets; VAT; Loan Repayments)
Cash Out - Interest and Tax

The Bank Account Forecast

The forecast for monthly bank balances follows is calculated as:

Bank Balance Bought Forward
add: Total Receipts
less: Total Cash Out
Bank Balance Carried Forward

Forecast Cash Flow and Free Financial Resources

Finally the value of undrawn cash from  from bank loans and overdrafts and factoring / invoice discounting (if selected) facilities are added to the bank balances to calculate total monthly net cash resources still available to the business as follows:

Bank: Balance @ Month-End
add: Undrawn Cash Available for Bank Overdraft and Loan limits
add: Undrawn Cash Available from Factoring / Invoice Discounting (if selected)
Net Available Cash Resources Carried Forward

Deficit months for net cash flow resources will call for either a reappraisal of overheads or investment or a temporary cash injection in order to maintain cash flow.

This is done by clicking the edit button and selecting the category you wish to change.

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