COVID-19 has impacted the whole country but the brunt of its effects have been cast upon small businesses. Revenue generation may be slowed or at times cut off completely, and the cash collection cycle will inevitably be extended. That being said, the most precious asset in times of uncertainty is cash. Who do we pay? How much should we pay them? Can we afford it? What about payroll? These are just a few of the questions business owners are asking themselves in times like this. At Meadows Urquhart we understand that projecting cash flow can be a tricky task, so we wanted to offer a simple tool to help. We have created the attached “MUAC Weekly Cash Flow Report” to assist our clients with organizing the various streams of cash inflows and outflows that are common to most small businesses.
Instructions on how to use the tool:
- Input the date of the first week in cell “E2”
- Input the total cash available as of the start date in cell “E4”
- Utilize the cash inflows and cash outflows sections to customize the input to your business. Note that there are two tabs on the spreadsheet. The first tab can be utilized to project a future cash position and experiment with different allocations, whereas the second tab can track what actually happened.