Covid-19 | 10 Essentials in Preparing your Cash Flow Forecast
26 May 2020
The Covid-19 pandemic has led to a renewed focus on liquidity management for businesses in Ireland and across the globe. We highlight some of the key considerations in preparing your cash flow forecast below.
Now is the time to revisit or develop a cash flow forecast for your business and update earlier assumptions in order to estimate the extent and timing of any incremental funding requirements over the coming months; as well as to begin considering the plan and estimated cash flow during the recovery phase.
Whether your business is looking to assess the adequacy of your cash reserves or preparing for a bank funding request, a robust cash flow forecast will improve visibility around future cash constraints or funding needs. It will also provide additional knowledge and direction at an earlier stage, which will help your business in navigating a path through the next few months.
We highlight 10 essential considerations when preparing your cash flow forecast during this Covid-19 period:
At BDO, we understand the challenges in preparing forecast information. In order to help businesses through this time, we have developed a financial projections model which can be tailored to assist your business with preparing your cash flow forecast. For more information please contact a member of our Corporate Finance team: