Forecasting - Decisions based on the future, not just the past

We develop three types of forecasts for our clients.

Income Statement

The first is a forecast based on an Income Statement.  We provide a 12-month forecast that will let us see how profit will change over time.  By looking at this in the future, we can make decisions now to change that including staffing, marketing, and other fixed costs.


We provide 2 types of cash forecasts

The first is a short-term (usually about 3 months) cash forecast showing cash by week.  This is used operationally to determine how to allocate cash.  Do we pay bills or pay down the credit card?  How much do we need to set aside for payroll?  Answers to these kinds of questions are just poor guesses without this kind of forecast.  But this forecast takes away the pain of wondering if you'll run out of cash and makes the decision on where to spend it easy.  You can see 3 months in advance where your problem weeks are going to show up and you can make changes now to mitigate the cash shortage.

The second is a 12 month cash forecast and is paired with the P&L forecast.  This doesn’t show as much detail as the weekly cash forecast, but it shows us the true cash impact of profitability over time.

Metrics Statement

This is a very actionable way to look at the future.  Rather than just looking at profitability, we look at how your metrics will change over time.  It gives a very clear picture - not just about if you're going to profitable - but specifically what areas need to change to bring your metrics in line with the benchmarks.  It's a powerful tool that gives accurate, clear, concise, and extremely timely data on which to base decisions.

Contact us for a customized solution to your accounting needs.

Nate has been an irreplaceable addition to our business. He has given us the ability to comprehensively look at our business from a financial perspective in clear reports that are easy to read. I didn’t know near enough about accounting when I hired him and I feel like he’s educated me in the process and helped me be a better CEO. I would recommend his services to anyone, as long as we don’t lose him. -Adam S.