Cashflow Management

Cashflow Planning – How this service works

After preparing a Cashflow Forecast we’ll conduct a thorough review of your processes and identify any potential causes of poor cashflow so that we can help you treat the underlying issues.

We’ll meet with you on a quarterly basis to monitor, analyse and adjust your key cashflow drivers.

Acting as your accountability coach, we’ll help you set annual goals and devise a 90 Day Action Plan to ensure you implement improvement strategies for maximum results.

Cashflow planning is best practice in any business and critical to survival and growth.

Setting cashflow targets and regularly monitoring your actual cashflow against your forecast will enable you to predict large cash outflows and respond to changes in your business.

Inadequate cashflow is a symptom of management problems in a business, NOT the cause. Helping our clients look ahead with confidence and putting in place basic cashflow maximisation strategies is core to our purpose as your accountants.

What is involved?

There are two service options. Both include the completion of a Cashflow Forecast and the inputting of your Cashflow Forecast into your accounting or reporting software.

Service one: A Cashflow Forecast – Preparation of a Cashflow Forecast and a one hour Cashflow Forecast Review meeting to discuss and finalise the Forecast.

Service two: Cashflow Management Coaching – Preparation of a Cashflow Forecast along with a three hour Cashflow Management Coaching session to:

• Discuss and finalise the Cashflow Forecast
• Identify your current Cash Conversion Cycle
• Identify the likely causes of cashflow problems within your business
• Set 12 month and 90 day cashflow improvement goals and actions

This initial session is followed by four quarterly accountability coaching sessions, ensuring that you put in place essential cashflow management strategies and achieve your cashflow improvement goals.

Who should use this service?

If you require a Cashflow Forecast because your bank manager has requested one, we can create one for you.

However, this Cashflow Management service is fundamental as every business owner needs an understanding of cash and liquidity for better decision making.

Recognising the difference between profit and cash, and the impact improving your Cash Conversion Cycle will have on your business is essential to managing and growing any business.

When should I have a session?

Businesses should have a Cashflow Forecast in place before the beginning of the new financial year.

Having said that, we can provide this service at any time.

The sooner we complete a Cashflow Forecast for you, the sooner we can work together to agree strategies for improvement.

Benefits of a Cashflow Management Planning Session

• Review and set the direction of the business
• Eliminate procrastination
• Identify common goals amongst a number of directors (if applicable)
• Identify and prioritise your key goals
• Create strategies to achieve your goals
• Identify what you will need to achieve your goals
• Set timeframes for achieving your goals
• Develop a tool to communicate your business goals and vision with your team
• Divide your goals into short term and long term - quick wins vs key projects
• Develop a template to review actual performance against targets
• Create a platform to develop Financial Forecasts
• Use your Business Plan as a basis for you to set team members’ individual goals/targets