Introduction

Float is a cash flow forecasting tool that shows your cash flow in real-time, helping you make better business decisions. It integrates with Xero, QuickBooks, and FreeAgent, eliminating the need for complex spreadsheets and giving you more control over your finances. By using Float, you can easily track and visualize your past, present, and future cash flow, which will greatly impact your company’s future.

Why is Forecasting your Cash Flow important?

Your business can’t survive without cash flow forecasting. Managing cash flow helps you handle unexpected and planned expenses efficiently. Using software like Float simplifies this by showing your future bank balance, aiding in smart decisions like hiring, upgrading tools, or moving to a larger office. Without cash flow forecasts, small businesses risk making poor financial choices.

Float – In Small Businesses

Small businesses use Float to make more confident business decisions with a quick and intuitive solution to understand their cash flow. Managing cash flow is crucial, but spreadsheets can be tricky. That’s where Float’s visual and easy-to-understand cash flow forecasts come in.

With Float, small businesses gain a clearer understanding of their financial future, making it easier to navigate and thrive. Using this tool helps ensure that you’re making well-informed, accurate financial decisions for your business’s growth and stability.

Creating a cash flow forecast in Float helps you spot future cash gaps and plan ahead, ensuring your business can cover costs and make smart investments to drive growth.

Planning Scenarios with Float

Float lets you create a visual cash flow graph, showing what’s likely to happen with your cash. This clear view helps you plan and make informed decisions. You can map out different potential situations based on the forecast, a process called ‘scenario planning’.

Scenarios can be created for any alternate reality that you’d like to see in your business. What you change in a scenario will never be reflected in your base, or official, forecast. So there’s no limit to what you can do with your potential plans and you can let your imagination run wild. Whatever your future may hold, it’s always good to get a plan in place to see what may happen.

Few Scenarios to create for various plans

1. Hiring a new employee
2. A Decrease in Sales
3. A new project
4. A best-case scenario
5. A worst-case scenario

Advantages of Float

One of the most significant advantages of float forecasting is that it allows you to plan ahead. You can anticipate any potential cash flow issues and take steps to address them before they become a problem.

1. Better Cash Management
2. Improved Decision Making
3. Reduced Risk
4. Improved Credit Rating
5. Better Relationship with Suppliers

Integrate your favourite tools

Any organization that’s on a digital transformation journey will realize that even the best software platforms aren’t meant to work in isolation. We can enhance Float’s capabilities and upgrade our user experience by integrating the Business Accounting softwares, Project management, Calendars and Productivity portals.

Some of the integrations include Linear, Google Calendars, Xero, Quickbooks, MS Outlook, slack, Asana and also Power BI using the help of Float APIs.

Float forecasting is an essential tool for businesses to manage their cash flows effectively. With the increasing complexity of business operations and the growing importance of cash management, accurate forecasting is becoming more critical than ever. By using the right forecasting methods and technologies, businesses can optimize their cash management strategies and ensure their financial stability in the long run.

Credits

Vigneshkumar Muthiah, Services Management Team