The Tunstall Organization, Inc.
  • Home
  • Process
  • Accounting/Bookkeeping
  • Tax Prep
  • Pricing
  • Team
  • Blog
  • Vlog
  • Home
  • Process
  • Accounting/Bookkeeping
  • Tax Prep
  • Pricing
  • Team
  • Blog
  • Vlog
Search

Cashflow Forecasting

2/17/2014

Comments

 
The idea of cashflow forecasting is so attractive, isn't it? Who wouldn't want to look into the future and know where to deploy cash and where not to. Outside of a crystal ball, cashflow forecasting is the best tool we have for predicting when cash will come in and when cash will go out...and for what purpose.

Yes, cashflow forecasting IS important, but how is it done?  Most retail accounting packages don't have a defined 'report' for forecasting cashflow. In fact, I've been using Quickbooks for over 10 years and Xero for over 2 years and neither has a really good view of cashflow, per se.

So, how is it done?

Well, before
I go into it, how it is done will depend on the frequency you want to use a cashflow forecasting tool, what degree of accuracy you can live with and who you'll be reviewing it with.
Since we're mostly using Xero to service our clients, I've only found one tool (as of this date) that syncs well with our actual accounting data and that is Floatapp.com. But rather than sing their praises or even beat them up, I'd rather describe our process and let you know what has worked, what hasn't and how we make it work for us and our clients.

First of all, we connect the Xero data to the app.  We refresh the data on a schedule (so we're always dealing with fresh actuals) then once we've got all the data into Float, we export the Float template into a Gsheet as a template.

Why move everything to GSheet?  Well, frankly,
the short answer is that manipulating numbers in Float isn't there yet. It is still slow and SAASy.  And since we experiment with new forecasted numbers for the coming month, manipulating the numbers is faster in GSheet.

Once we've got what we want in GSheet,
we manually update Float to be what we think will happen in the next month. Not a perfect seamless process but it works for now until the SAAS tools improve.

Overall, the advantage of apps like Float is that they sync actual accounting data information directly into the cashflow forecast tool.  This way we can always have an accurate look at when the receivables and payables on the books are expected to be due.

How do you forecast your cashflow?

Float Promo Vimeo from Edinburgh Film Company on Vimeo.

Comments

    RSS Feed

    Archives

    July 2017
    May 2017
    February 2017
    July 2016
    June 2016
    April 2016
    February 2016
    January 2016
    December 2015
    November 2015
    October 2015
    August 2015
    July 2015
    June 2015
    April 2015
    February 2015
    November 2014
    July 2014
    June 2014
    May 2014
    February 2014
    January 2014
    December 2013
    November 2013
    October 2013
    September 2013
    August 2013
    July 2013
    June 2013
    May 2013

The Tunstall Organization, Inc. 
615 S. College ST. 9th Fl
Charlotte, NC  28202

200 Broadway - 3rd Fl WeWork
​ New York, NY 10038
​

​info@tunstallorg.com
212-420-1077

Legal Disclaimer

Picture
Join the Team?
​ Apply here
  • Home
  • Process
  • Accounting/Bookkeeping
  • Tax Prep
  • Pricing
  • Team
  • Blog
  • Vlog