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Daily Cash Flow Forecast

See Also:
Cash Flow Statement
Steps to Track Money In and Out of a Company
How to Create Cash Flow Projections
Thirteen Week Cash Flow Report

Daily Cash Flow Forecast

Use the Daily Cash  Flow Report to report on the daily cash balance and to help manage cash on a weekly basis. This tool is especially useful when entering a situation where active cash management is required for your daily cash flow. The daily cash flow report template is used best as a tactical, active cash management tool. Knowing your daily cash position as well as your weekly cash commitments gives you added impetus to collect money and/or to generate revenues. You can then take the information generated in the daily cash flow report and incorporate the information into another useful tool, the Flash Report!

Why use a daily cash report? When facing a cash crunch, CFO/Controllers often manage cash by reviewing the online bank balance. Though easy to do, this number is not accurate. It does not take into consideration outstanding checks. Another symptom of a cash crunch is that accounting falls behind in processing information. By preparing this daily cash flow forecast or projection you force the accounting department to stay current with posting transactions.


NOTE: Want the 25 Ways To Improve Cash Flow? It gives you tips that you can take to manage and improve your company’s cash flow in 24 hours! Get it here!

Download The 25 Ways to Improve Cash Flow


Use in Conjunction With the 13-Week Cash Flow Report

This tool is also helpful when used in conjunction with the Thirteen Week Cash Flow Projection. It is helpful to think of the 13-Week Cash Flow Report as giving you the strategic big picture needs, while the Daily Cash Flow Report provides a more tactical level measure of your firm’s cash position. You can tie a week’s worth of cash receipts and cash disbursements as reported in the Daily Cash Report to the 13- Week Cash Flow Report.

Update the Daily Cash Report daily; remember, this process should not take more than thirty minutes to prepare. However, there is some element of planning involved insofar as weekly cash commitments are concerned. If the company is in a severe cash crunch, you may need to negotiate with vendors about partial payments.

The Daily Cash Report format should be set up and managed by the CFO/controller. However, it can be outsourced to a staff member in accounting to keep up on a daily basis. There are 3 sections to the Daily Cash Report: Today’s Cash Position, Weekly Cash Position and Payables Detail.

Prepare the daily cash flow report in the morning of each workday. Use the information on the report to help you manage cash for the day that you prepare it.

Note: Today’s Cash Position is really the ending cash position from yesterday.

Daily Cash Position

This purpose of this section is to give you the cash position at the start of the day as per the G/L balance. The cash position for the start of today is the same as the ending cash balance from the last business day. Hence, the report you update and start off with at the beginning of today will be on the information from the last business day. (Reminder: this report is prepared the following day of the reporting period.)

Starting Balance

If the report you are preparing for today is based on information from the last business day, then it is important to capture all the cash flow events that happened during the course of the last business day. To do so, we need to have several anchors. First, you need a starting balance. This starting balance is the beginning cash balance per G/L and any outstanding checks from last business day (usually yesterday). This beginning cash balance is the same as the ending cash balance from two business days ago. Both the cash balance and outstanding check balance should be summed together to a Reconciled Balance. Click here for more information on account reconciliation.

Cash Inflows

After obtaining the starting balance for the last business day, we need to capture cash inflows. Examples of cash inflows include cash payments, lockbox payments, credit card payments, and any checks received through the mail. Again, these cash inflows and deposits are from the last business day. Add up the total amount of cash inflows together to obtain the Total Deposits.

Managing your cash flow is vital to a business’s health. If you haven’t been paying attention to your cash flow, access the free 25 Ways to Improve Cash Flow whitepaper to learn how to can stay cash flow positive in tight economies. Click here to access your free guide!

Cash Disbursements

The third piece of financial information you need to obtain is information on cash disbursements from the last business day. Cash disbursements include payroll checks, A/P checks. Your firm may prefer to have a separate line item for certain significant cash disbursements. As long as you keep the overall report simple and uncluttered, this is fine. After all cash disbursements have been accounted for, sum up together to obtain Total Disbursements. Enter the cash disbursements as negative numbers. The report is intended for non-accountants who think in terms of expenses being negative.

Sum up all of these elements together to obtain the ending cash balance for the last business day:

Reconciled Balance + Total Deposits – Total Disbursements = Cash Balance.

Incoming monies from yesterday Disbursements (Insert Date from 1 business day ago)- Payroll Fees – AP Checks – Other Disbursements = Total Disbursements

ENDING CASH BALANCE AS OF : This is also the Beginning Cash Balance for TODAY. Reconciled Balance + Total Deposits – Total Disbursements.

Weekly Cash Position

The weekly cash position gives management an estimate of how much incoming cash and cash disbursements the company expects to have for the entire week. Remember, this is an estimate only. Update this estimate periodically so that the company improves on the estimate. Your company may prefer to have a separate line item for certain significant cash disbursements. This is acceptable as long as you keep the overall report as simple as possible.

A template follows as below:

Estimated Deposits for the week ending: Lockbox/Mail + Credit Cards = Total Estimated Deposits

Estimated Disbursements for the week ending: Hourly Payroll + Salary Payroll + A/P Checks Committed + A/P Checks Expenses = Total Estimated Disbursements

Managing Payables

The CFO/controller will need to list the different vendor/suppliers that the company intends to pay for the week. During times of extreme cash shortage, it may be helpful to make a note of which vendor/suppliers are of high priority.

Update daily. However at the beginning of the week, plan to give extra attention to prioritize which vendors should be paid. Depending on the cash situation of the company, try to think of paying only a portion of what’s owed.

List of the vendor/suppliers with the amount needed to be paid. Finally, sum up the total amount. Vendor A + Vendor B + Vendor C = TOTAL

Monitor & Review

Monitor and review the Daily Cash Flow Report on a daily basis in situations where cash management is big key part of company survival. A key part to focus on is the estimate of weekly cash deposits. Monitoring and reviewing the cash deposits will improve the accuracy of the estimates. For more ways to improve your cash flow like this one, download the free 25 Ways to Improve Cash Flow whitepaper.

Daily Cash Flow forecast
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Access your Strategic Pricing Model Execution Plan in SCFO Lab. The step-by-step plan to set your prices to maximize profits.

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Daily Cash Flow forecast

Originally published by Jim Wilkinson on July 23, 2013.

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Daily Cash Report

daily cash reportWhen we start a consulting engagement with a new client, one of the first tools we implement is the Daily Cash Report.  While the concept is simple, the results can be very powerful. If you’ve ever realized on Thursday afternoon that you don’t have enough cash for Friday’s payroll, then you know exactly what I mean.

Daily Cash Report Definition

So what is a daily cash report?  It’s basically a detail of today’s cash position and a look forward at upcoming cash inflows and outflows.  It allows you to know not only the cash you have on hand today. But it also allows you to know what you’re going to need over the next week or so.  This report provides visibility for all aspects of the cash cycle. This includes receivables, payables, and the treasury function. As a result, better decisions can be made regarding organizational cash flow.

To learn more about the Daily Cash Report including details on how to prepare the report, check out this article on wikiCFO.

For more tips on how to manage your cash flow, click here to access our 25 Ways to Improve Cash Flow whitepaper.

daily cash report

Strategic CFO Lab Member Extra

Access your Cash Flow Tuneup Execution Plan in SCFO Lab. This tool enables you to quantify the cash unlocked in your company.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

daily cash report

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5 Tools You Might Not Be Using (But Should)

Historically, CFOs have relied upon traditional financial statements to guide their decision-making.  Today, the prevalence of more sophisticated accounting systems and the demand for more information more quickly has given rise to the need for different kinds of reporting.  Here’s a list of 5 tools that can help give you manage cash, identify areas for improvement, and plan for the future.

5 Tools You Might Not Be Using (But Should)

Daily/Weekly Cash Report

The Daily (or Weekly, depending upon how tight cash is) Cash Report gives a snapshot of the daily/weekly cash position as well as a forecast of expected cash inflows and outflows for the day/week. In a cash crunch, using this tool daily can be a lifesaver.  Highlighting projected cash shortfalls can help focus efforts on collecting receivables or generating revenues.  Once the cash crisis passes, preparing this report at least on a weekly basis can help the CFO determine if the cash balance is growing, or if it is being used elsewhere in the business.

Click here to learn more about the Daily Cash Report.

Flash Report

The Flash Report, or financial dashboard report, provides a periodic snapshot of key financial and operational data. This one-page report can be prepared on a daily, weekly, or bi-monthly basis, depending upon the availability of information and needs of management.  It is divided into three sections:  Liquidity, Productivity, and Profitability. The Liquidity section focuses on operating cash flows and the cash conversion cycle.  The Productivity section lists key performance indicators (KPIs) to track changes in operating productivity. The Profitability section shows an estimate of profitability for the period.  The key to using this report effectively is not to make it a mini-P&L, but to only capture and track that data that is useful in decision-making. Otherwise, it’s too cumbersome to prepare and gets put on the back burner.

Click here to learn more about Flash Reports.

Projections

Most companies prepare an annual budget, but not all prepare projections.  What’s the difference?  A budget sets the company’s goals while a projection defines its expectations.  Budgets are static and are often useless shortly after they are prepared.  By contrast, projections are dynamic and adapt to changing conditions and expectations.  Projections should be updated with actuals monthly and forecasted numbers (such as sales) should be changed going forward as better information is obtained.  While many companies prepare projected income statements and possibly cash flow statements, few prepare a projected balance sheet. A projected balance sheet is a key tool used by lenders when deciding whether to invest in a company.

Click here to learn more about Projections.

Fluctuation Analysis

A Fluctuation (flux) Analysis, also called common-size financial statements, looks at changes in the income statement or balance sheet expressed in dollars and as a percentage of sales or total assets. Prepared annually or as needed, this report looks at changes over a four- or five-year period and is useful to identify “slippage” or small changes in accounts over the course of years that might not show up when looked at as raw dollars only. For example, a 2% increase (as a percentage of sales) in COGS wages over a four year period may not seem like much.  But in a $50 mm company, that’s a million dollars of slippage!

Click here to learn more about Fluctuation Analysis.

Ratio Analysis

If you’ve ever put together a loan package, you’re probably familiar with Ratio AnalysisBankers love this tool! They can use it to compare your company to others in your industry and market using established benchmarks.  It’s also a useful tool for CFOs for the same purpose.  Is your company as profitable as it should be?  Sometimes it’s tough to know unless you’ve compared it to others in your industry.  Looking at key financial ratios is also useful to track trends within the company year over year.  If your banker is looking at it, shouldn’t you?

As you can see, there are many other tools besides the financial statements that can help you make better, more timely decisions and plan for the future.   Which tools are you using in your business?

To learn more financial leadership skills, download the free 7 Habits of Highly Effective CFOs. 5 tools you might not be using

Strategic CFO Lab Member Extra

Access your Flash Report Execution Plan in SCFO Lab. The step-by-step plan to manage your company before your financial statements are prepared.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

5 tools you might not be using

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How to Develop Daily Cash Report

See Also:
Cash Flow Statement
Track Money In and Out of a Company
Cash Flow Projections
Cash is in Your Business
Thirteen Week Cash Flow Report

The Daily Cash Report

The Daily Cash Report is used to report on the daily cash balance and to help manage cash on a weekly basis. When entering a situation where active cash management is required for your daily cash flow, this tool is especially helpful. Use the daily cash report template as a tactical, active cash management tool. Knowing your daily cash position as well as your weekly cash commitments will give you added impetus to collect money and/or to generate revenues. You can then take the information generated in the daily cash report and incorporate the information into another useful tool, the Flash Report!

Why use a daily cash report? Often CFO/Controllers when facing a cash crunch manage cash by reviewing the online bank balance. Though easy to do this number is not accurate. It does not take into consideration outstanding checks. Another symptom of a cash crunch is that accounting falls behind in processing information. By preparing this daily cash flow forecast or projection you force the accounting department to stay current with posting transactions.

Cash Flow Forecast

This tool is also helpful when used in conjunction with the Thirteen Week Cash Flow Projection. It is helpful to think of the 13-Week Cash Flow Report as giving you the strategic big picture needs. Conversely, the Daily Cash Flow Report provides a more tactical level measure of your firm’s cash position. You can tie a week’s worth of cash receipts and cash disbursements as reported in the Daily Cash Report to the 13-Week Cash Flow Report.

The Daily Cash Report is updated daily and should not take more than thirty minutes to prepare. However, there is some element of planning involved insofar as weekly cash commitments are concerned. If the company is in a severe cash crunch, you may need to negotiate with vendors about partial payments.

Prepare the Daily Cash Report in the morning of each workday. Use the information on the report to help you manage cash for the day that you prepare it.


Managing your cash flow is vital to a business’s health. If you haven’t been paying attention to your cash flow, then access the free 25 Ways to Improve Cash Flow whitepaper to learn how to can stay cash flow positive in tight economies.

Download The 25 Ways to Improve Cash Flow


Daily Cash Position

This purpose of this section is to give you the cash position at the start of the day as per the G/L balance. The cash position for the start of today is the same as the ending cash balance from the last business day. Hence, the report you update and start off with at the beginning of today will be on the information from the last business day. (Reminder: this report is prepared the following day of the reporting period.)

After obtaining the starting balance for the last business day, we need to capture cash inflows. The third piece of financial information you need to obtain is information on cash disbursements from the last business day.

Sum up these elements together to obtain the ending cash balance for the last business day: Reconciled Balance + Total Deposits – Total Disbursements = Cash Balance.

Incoming monies from yesterday Disbursements (Insert Date from 1 business day ago)- Payroll Fees – AP Checks – Other Disbursements = Total Disbursements

ENDING CASH BALANCE AS OF : This is also the Beginning Cash Balance for TODAY. Reconciled Balance + Total Deposits – Total Disbursements.

Weekly Cash Position

The weekly cash position gives management an estimate of how much incoming cash and cash disbursements the company expects to have for the entire week. Remember, this is an estimate only. It should be updated periodically so that the company improves on the estimate. Your company may prefer to have a separate line item for certain significant cash disbursements. As long as you keep the overall report as simple as possible, this is acceptable.

Managing Payables

The CFO/controller will need to list the different vendor/suppliers that the company intends to pay for the week. During times of extreme cash shortage, it may be helpful to make a note of which vendor/suppliers are of high priority.

Daily Cash Report Monitor & Review

The Daily Cash Report should be monitored and reviewed on a daily basis in situations where cash management is big key part of company survival. A key part to focus on is the estimate of weekly cash deposits. Monitoring and reviewing the cash deposits will improve the accuracy of the estimates. For more ways to improve your cash flow, download the free 25 Ways to Improve Cash Flow whitepaper.

Daily Cash Report

Strategic CFO Lab Member Extra

Access your Cash Flow Tuneup Execution Plan in SCFO Lab. This tool enables you to quantify the cash unlocked in your company.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

Daily Cash Report

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Thirteen Week Cash Flow Report

Thirteen Week Cash Flow Report Definition

The Thirteen Week Cash Flow Report, defined as a method to forecast the cash flow needs of a company, is commonly used in businesses with complicated cash cycles. When active cash management is required, this tool is especially useful. This model is used best as a “big picture” tool to see how much cash is required on a forward rolling basis. However, having a clear sense of your working capital needs and when you need it gives added impetus to collect cash and/or to generate revenue.

When used in conjunction with the daily cash report, this tool is also helpful. Think of the 13-Week Cash Flow report as giving you the strategic big picture needs, while the Daily Cash Flow Report provides a more tactical level measure of the firm’s cash position.

Thirteen Week Cash Flow Report: Meaning

The 13 week cash flow report is used to project cash flow expectations into the coming weeks. When you have a strong understanding of this report, it creates the foundation to make valuable models. There are several key areas of information that you will need to obtain, including beginning cash balances, estimated cash receipts, estimated payroll and taxes, estimated operating expenses, note/lease payments, payments on LOC-ML and payments on old A/P.

(Managing your cash flow is vital to a business’s health. If you haven’t been paying attention to your cash flow, access the free 25 Ways to Improve Cash Flow whitepaper to learn how to can stay cash flow positive in tight economies. Click here to access your free guide!)

Thirteen Week Cash Flow Report: Modeling

In a Thirteen Week Cash Flow Report, modeling the proper information is essential to creating meaningful statements. First, collect information to assure that numbers, concepts, and processes are added to the report with regard to the regular business operations. Keep in mind that an accounting firm will have a completely different thirteen week cash flow forecast than an e-commerce store.

Second, financial information must be input in the proper places in the report. Incorrect reporting leads to useless statements, so the maker must take great care to avoid mis-entry or confusion.

Lastly, monitor and update the report consistently. Without constant attention and changes, the report quickly becomes outdated and useless.

Accumulate Information for Thirteen Week Cash Flow Projection

Garbage in … is Garbage Out. The integrity of your forecast will depend on your ability to obtain solid information on forthcoming cash receipts, operating expenses, payroll and other cash disbursements such as notes and old A/P.

There are several key areas of information that you will need to obtain information, including the following:

  • Beginning cash balance
  • Estimated cash receipts
  • Note/lease payments
  • Estimated payroll and taxes
  • Payments on LOC-ML
  • Estimated operating expenses
  • Payments on Old A/P

Input Financial Information

After you have gathered information, key in the information into the spreadsheet. Make sure you are keying the information into the correct week. Depending on the number of disbursements or cash receipts of your company, you may want to consider separate tabs that list out all the associated receipts and disbursements for each week. You can then sum up all the disbursements or receipts and link them to the summary page.

(NOTE: Want the 25 Ways To Improve Cash Flow? It gives you tips that you can take to manage and improve your company’s cash flow in 24 hours!. Get it here!)

Monitor & Update

After you have input your estimated forecasts, you will want to monitor and review against actuals. As each week passes, you may want to consider dropping in the actuals into the spreadsheet. Actual cash receipts and cash disbursements can be tied to the Daily Cash Report.

Thirteen Week Cash Flow Report: Example

For example, Stanlee is the head bookkeeper for a retail boutique. Because the work environment is more relaxed and his efforts carry more effect on the business, Stanlee appreciates working with small vendors.

This week, the company owner decided to deepen her understanding of financial statements for business. So she asked Stanlee to create a Thirteen Week Cash Flow Report. Stanlee sits down to prepare these statements.

Stanlee begins by accumulating proper information. He starts by looking through quickbooks, bank statements, business credit card statements, and a few other forms. With these, Stanlee finally has the background he needs to create the report. He then moves forward data entry.

Stanlee begins inputting information for the 13 week cash flow analysis. He starts by looking at end of period cash balances in the bank, credit card payments due, and anything else that effects cash flow. After Stanlee enters this information fully, he checks his work to ensure completion.

Monitor the Statement

Next, Stanlee monitors the statement. Then after finishing, he takes some time to look at the report. At the end of the 13 week period, he discovers that the company cannot complete payment of all accounts payable. This worries Stanlee. So, he takes a few more moments to create a potential plan of action. He then resolves that if the store owner, a woman with impeccable credit, opens an additional business credit card she will be able to meet her cash needs. As a result of the increased sales volume due to opening of the spring season, the owner will be able to pay back the credit card balance before having to make a payment.

What could have been a major catastrophe is now a simple matter. In conclusion, the owner of the boutique thanks Stanlee, gives him a nice bonus, and decides to always have a Thirteen Week Cash Flow Report on hand. For more ways to improve your cash flow, download the free 25 Ways to Improve Cash Flow whitepaper.

thirteen week cash flow report

Strategic CFO Lab Member Extra

Access your Cash Flow Tuneup Execution Plan in SCFO Lab. This tool enables you to quantify the cash unlocked in your company.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

thirteen week cash flow report

See Also:
Cash Flow Statement
Cash Flow After Tax
How to Develop a Daily Cash Report
How to Prepare a Flash Report
Cash Cycle

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The 13 Week Cash Flow Report

13 Week Cash Flow Report Definition

Define the 13 Week Cash Flow Report as a method to forecast the cash flow needs of a company. It is commonly used in businesses with complicated cash cycles. This tool is especially useful in a situation where active cash management is required. Use the 13 Week Cash Flow Model as a “big picture” tool to see how much cash is required on a forward rolling basis. Having a clear sense of your working capital needs and when you need it gives added impetus to collect cash and/or to generate revenue.

This tool is also helpful when used in conjunction with the daily cash report. It is helpful to think of the 13-Week Cash Flow report as giving you the strategic big picture needs, while the Daily Cash Flow Report provides a more tactical level measure of the firm’s cash position.

13 Week Cash Flow Report Meaning

For a 13 week cash flow report, meaning the report used to project cash flow expectations into the coming weeks, a strong understanding creates the foundation to make valuable models. There are several key areas of information that you will need to obtain, including the following:

  • Beginning cash balances
  • Estimated cash receipts
  • Estimated payroll and taxes
  • Note/lease payments
  • Estimated operating expenses
  • Payments on LOC-ML
  • Payments on old A/P.

Use the 13-Week Cash Flow Report in the active cash management of the company. The CFO/Controller should update and review the tool on a weekly basis.

The CFO/Controller should prepare and update thirteen week cash flow model. The CFO/controller should be the one to setup and prepare the template. Information to populate the template will most likely reside with the persons in Accounting and HR.

Maintain and update it on a weekly basis.

For more tips on how to improve cash flow, click here to access our 25 Ways to Improve Cash Flow whitepaper.

13 Week Cash Flow Report
Strategic CFO Lab Member Extra

Access your Strategic Pricing Model Execution Plan in SCFO Lab. The step-by-step plan to set your prices to maximize profits.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

13 Week Cash Flow Report

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How to Develop a Daily Cash Report

Learn how to develop a daily cash report in today’s blog. Use the Daily Cash Report to report on the daily cash balance and to help manage cash on a weekly basis. This tool is especially useful when entering a situation where active cash management is required for your daily cash flow. The daily cash report template is used best as a tactical, active cash management tool. Knowing your daily cash position as well as your weekly cash commitments will give you added impetus to collect money and/or to generate revenues.

How to Develop a Daily Cash Report

Why use a daily cash report? Often CFO/Controllers when facing a cash crunch manage cash by reviewing the online bank balance. Though easy to do this number is not accurate. It does not take into consideration outstanding checks. Another symptom of a cash crunch is that accounting falls behind in processing information. By preparing this daily cash flow forecast or projection you force the accounting department to stay current with posting transactions.

This tool is also helpful when used in conjunction with the Thirteen Week Cash Flow Projection. It is helpful to think of the 13-Week Cash Flow Report as giving you the strategic big picture needs, while the Daily Cash Flow Report provides a more tactical level measure of your firm’s cash position. You can tie a week’s worth of cash receipts and cash disbursements as reported in the Daily Cash Report to the 13- Week Cash Flow Report….

More at WikiCFO.com

For more tips on how to improve cash flow, click here to access our 25 Ways to Improve Cash Flow whitepaper.

How to Develop a Daily Cash Report
Strategic CFO Lab Member Extra

Access your Strategic Pricing Model Execution Plan in SCFO Lab. The step-by-step plan to set your prices to maximize profits.

Click here to access your Execution Plan. Not a Lab Member?

Click here to learn more about SCFO Labs

How to Develop a Daily Cash Report

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LEARN THE ART OF THE CFO