Cash Flow Forecast Tool

Most Indian SMBs fail from cash flow problems, not lack of profit. GST payment (by 20th monthly), TDS deposit (by 7th monthly), supplier payments, and salary disbursements create clustered cash outflows. A 90-day forecast helps anticipate gaps 4–6 weeks ahead — enough time to arrange bank overdraft or accelerate collections before a crisis.

A business can be profitable but cash-poor if customers pay late (high receivables), you have invested in inventory or equipment, or you are growing rapidly (working capital increase absorbs cash). Cash flow = Profit + Depreciation minus Working Capital Increase minus Capital Expenditure.

Quick wins: invoice on delivery (not month-end), offer 2% discount for payment within 7 days, negotiate 30 extra days from suppliers, reduce inventory to 30 days, collect all overdue receivables before month-end, and arrange a pre-approved bank OD facility before you actually need it.

A 13-week (one quarter) weekly cash flow model showing opening balance, expected receipts, expected payments, and closing balance each week. Updated weekly with actuals for rolling accuracy. It is the industry standard for operational cash management used by CFOs of companies of all sizes.

Include: customer receipts (factoring in collection delays), vendor payments, salary and contractor payments, GST, TDS, and advance tax, loan EMIs, capital expenditure, and any seasonal spikes. The more granular, the more useful. Do not include non-cash items like depreciation.