Create efficiency in your practice through automation. ProfitSee's Three-Way Cashflow tool allows you to generate three year cashflow forecasts based on historical performance with the click of a button!
For more about the Balance Sheet and how it affects you, read our blog post "Balance Sheet Projections and You".
Creating the Baseline Projection
- Log into your ProfitSee account and open the company file you want to work with.
- Click "Forecasting" on the left-hand navigation panel.
- Select the "3-Way Cashflow Forecast" tab. ProfitSee will automatically begin calculating your baseline projection if the file has sufficient historical AR/AP data.*
**NOTE: If you do not have enough historical data (at least 12 months), you will receive the following prompt to upload a spreadsheet containing this information. If you do not have access to the historical AR/AP data, we suggest making your best guess, but beware that the corresponding baseline projection will not be as accurate.
After generating a baseline three-way cashflow projection, ProfitSee allows you to build strategies and create an updated projection. These strategies provide the opportunity to address any upcoming periods in which you notice poor performance.
- Click on "Build a Strategy" to bring up pre-built templates in the following categories: Add a Loan, Add additional Monthly Expenses, AR/AP Assumptions, Sales Tax Assumptions, Add Scenarios
- Select the category you'd like to adjust and fill in all fields of the template then click "Save" to add the strategy to your projection. Strategies with a checkmark in the box labeled "Active" will be added to the new projection, while those with no check in the box will not be included.
- Repeat Step 2 until all desired strategies have been added.
- A new projection will automatically be created beneath the strategy section each time you add or update a strategy. This allows you to compare the business' cash on hand with and without strategies to aid in planning for the future.