The cash crunch could be coming…

Forecast today and download your 13 week cashflow forecast template

Hello again

I’ve got another word of warning for you… but balanced by a very helpful free template!

In my previous blogs, I advised you to not use your bank account as a barometer for the health of your business. It’s far too simplistic an approach – you need to be looking further ahead.

Because the cash crunch could be coming… And it’s likely to arrive uncomfortably soon for some…

Having raised the issue of the ongoing importance of a cashflow forecast – but especially now – in my last missive, I realise that I flagged the problem, but didn’t also offer a solution. (Bad Jen!) So I’m rectifying that right now.

Why? Because it’s REALLY IMPORTANT that you understand that you need to forecast today what the next 3 months looks like. I really can’t stress that enough.

It’s important (perhaps even crucial) because you need to know that you can afford to pay your next VAT bill. If your VAT quarter ends 30th June, that liability will fall due by 7th August. And if you took advantage of the opportunity to defer your end of March VAT payment (lots of businesses did!), then don’t forget to make a note somewhere on your cashflow forecast that this is due by 31st March 2021. Always think at least 3 months ahead…

If you even suspect you might need to change your cost base to accommodate the current economic conditions, you really need that visibility now. Which is where a free cashflow forecast template hopefully proves helpful!

Now that you know that you urgently need to see a cash flow forecast for your business, I’m sharing our simple 13-week cash flow forecast template with you – access it here.

It’s free, gratis, with our compliments! Please download it, use it, share it – and make informed decisions about your business on the back of it. And don’t forget to include your VAT bills and also your Corporation Tax payment (due 9 months after the end of your financial year)!

Download your FREE cash flow forecast template right now

If you’ve already mentally filed this forecasting task under “too difficult” or you want someone to sanity check your calculations with you, then please just get in touch. We’ll be more than happy to help.

Spent more than 2 hours on it and not completed it yet? Take advantage of our offer of a free call with one of our Financial Controllers – we can get it finished for you and talk you through your options.

Likewise, if you think you need CBILS funding or a Bounce Back Loan, and you’re not sure you know what you have to provide or don’t have the time to do the application, then please just ask for help… My purpose is to help fellow business owners feel happier because their business is more successful – so if you’re struggling, please know that we’re here to offer some support.

Stay well, stay safe – and let’s hope the green shoots that seem to be appearing continue to grow.

Now go, forecast!
Jen x

Jennifer Raines, YRH Founder

Jennifer Raines, YRH Founder

We’re passionate about doing what we can to help you get through these challenging times. Visit our SME Financial Support Resource Centre – where we aim to provide the latest updates and information on Coronavirus and your business.