What is Cash flow forecast?
Finance & accounting. A plain-English definition for Australian business owners.
A cash flow forecast projects expected cash inflows and outflows over a future period.
The simplest version is a monthly forecast for the next 3-6 months; the operationally most useful version for SMEs is a 13-week rolling forecast updated weekly. Cash flow forecasting answers the question "can we afford X?" — a question SMEs frequently make without a model because the model doesn't exist.
In a connected back office this sits with the Finance hub, where Valont runs bookkeeping, managed payroll and bas & tax compliance for Australian SMEs as one team. The full definition set is on the glossary.
Talk to an Advisor
General information, not advice. For how this applies to your business, talk it through with a Trusted Advisor or start with the Business Health Check.