Day-to-day cash and working capital management may not be of focus for your company. There is limited or no visibility regarding your short-term cash flow and cash position because the existing forecasting process is unreliable or ineffective.
Lenders or private equity owners are demanding more rigorous financial information or the identification of opportunities to generate additional cash flow and liquidity from your business.
How we can help
We can help you track and forecast short-term cash flow. We typically develop a weekly forecasting model that covers a rolling 13-week period. We tailor our approach to your objectives, the existing forecasting process, the level of stress your company is experiencing and the time available. Our services include:
Objective analysis of the existing forecasting process, and identification of opportunities for improvement, including advice and recommendations on those opportunities
Design and development of a customized cash flow forecasting model
Data population of the forecast model over a short period of time to ensure that the design fits with your needs
Variance analysis and follow-on assistance in the development of a robust reporting process to management, lenders and other stakeholders
The potential benefits
Increased rigour and control in forecasting help your company manage cash flow during times of critical need and assist in evaluating compliance with or negotiating amendments to financial covenants.
Our support helps create a change in corporate culture and approach, enabling greater visibility into and control over cash and the possibility for you to free up additional liquidity.