Cash forecast
Cash flow is the net amount of cash that’s flowing in and out of a company. Cash flow is important for organizations to keep track of because it influences the liquidity of a company, the ability to invest in opportunities, and the overall financial performance of a company. Even companies that are profitable can face insolvency if they don’t maintain cash flow to meet immediate needs. You can use the cashflow forecasting tool in Finance insights to accurately monitor and manage your cash balance by using intelligent machine learning. Ensuring that you have accurate cash flow projections is beneficial to decision makers in a company because you can strategically use the current cash position to increase profitability.
Other benefits of the cashflow forecasting tool include:
- Consolidated data helps make it easier for decision makers to analyze information.
- Forecasting and managing cash flows is less tedious and more automated.
- The cash flow forecast will detail the estimated accuracy of the forecast.
- You can save specific cash flow position or forecasts, edit them, and then compare and measure the forecast performance to the actual financials.
- It enables what-if analysis through snapshot comparison. For example, you can create multiple snapshots that represent optimistic, pessimistic, and the most realistic versions of your cash flow. That way, you can prepare for possible upsides or downsides of your cash flow position and compare the differences.
- It gives you the ability to view cash flow forecasts in multiple currencies, across legal entities, and view cash flow that’s related to a bank account.
- You can filter and view bank accounts that are related to financial dimensions.