Build a cash flow forecast and a simple weekly routine

Profit is not the same as cash

A sale can be profitable while the business still runs short of money before the customer pays. A weekly rhythm makes the next decisions visible before a shortage becomes urgent.

Your 20-minute weekly review

1. Start with the actual bank balance and money genuinely available.
2. List customer payments expected, with realistic dates and confidence levels.
3. List committed payments: suppliers, wages, tax, subscriptions, loans and owner drawings.
4. Extend the view far enough to include known quarterly and annual costs.
5. Compare the forecast with last week and explain the largest changes.
6. Choose one action: chase an invoice, defer a non-essential cost, renegotiate timing, adjust pricing or test a sales action.

What good looks like

The forecast follows the bank rather than invoice dates alone. Assumptions are written down, tax and restricted money are not treated as spare cash, and the owner understands the lowest expected point.

Common mistakes

• Filling the forecast with optimistic sales that have no evidence.
• Forgetting VAT, tax, annual subscriptions or loan repayments.
• Using credit before understanding the size and duration of the gap.
• Updating the spreadsheet without making a decision.

When to get help

Get accounting or restructuring help early if wages, tax or essential suppliers may not be paid, or if the plan depends on repeated borrowing. Funding should follow a credible forecast and repayment route.

Keep in your roadmap

Save the forecast, assumptions, lowest-cash month, next review date and the action owner. Compare forecast with actual results each week.

Build the numbers in the free tool

Use the [My Business Path cash flow forecast](/tools/cash-flow-forecast) to enter a starting balance and 12 months of expected money in and out. The tool highlights the lowest point, saves to your business portal when you are signed in and can export the forecast for discussion with an adviser or funder.