Monthly Cash Flow Projection from the SCORE Library

Monthly Cash Flow Projection

Instructions for completing the Monthly Cash Flow Projection form follow. A sample form appears on pages 3 and 4.

Cash on hand at beginning of month: Must be the same as cash on hand at the end of the prior month.

Cash Receipts

Cash sales: All cash sales. Omit credit sales, unless cash is actually received.

Collections on accounts: Amounts paid by credit customers.

Loans or other cash injections: All cash received other than cash sales and collections on accounts.

Cash Paid Out

Purchases merchandise: Payments for products, or material to be made into products, that are to be sold to customers.

Gross wages: Base pay plus overtime, if any.

Payroll expenses(taxes, etc.): Include paid vacations, sick leave, health and unemployment insurance and other benefits.

Outside services: Outside labor, material for specialized or overflow work, including subcontracting.

Supplies: Items purchased for use in the business (not for resale).

Repairs & maintenance: Include periodic large expenditures such as painting or decorating.

Advertising: Newspaper, radio, and television advertising; business cards, brochures, etc.

Car, delivery & travel: If personal car is used, charge in this column, including parking.

Accounting & legal: Outside services (e.g., bookkeeping).

Rent: Real estate only.

Telephone: Includes regular and cell phone, if used for business.

Utilities: Water, heat, light, and power.

Insurance: Coverage on business property and products (fire, liability); worker's compensation, fidelity, etc. Does not include life insurance.

Taxes: Real estate, inventory tax, sales tax, excise tax, if applicable, etc.

Interest: Be sure to include interest on loan.

Other: When equipment is rented or leased, record payments here. Also record any unexpected expenditures.

Miscellaneous: Small expenditures for which separate accounts would be impractical.

Loan principal payments: Payments on all loans (including vehicle) and equipment purchases on time.

Capital purchases: Non-expensed (depreciable) expenditures, e.g. equipment, building purchases on time.

Other Start-up costs: Expenses incurred prior to first month projection and paid for after start-up.

Reserve and/or escrow: Insurance, tax, or equipment escrow to reduce impact of large payment.

Owner's withdrawal: Includes payment for owner's income tax, social security, health and life insurance, etc.

Essential Operating Data:

Sales volume (dollars): A very important figure that should be estimated carefully, taking into account size of facility and employee output as well as realistic anticipated sales (actual sales, not orders received).

End of Month Data:

Accounts Receivable: Previous unpaid credit sales plus current month's credit sales less amounts received during the current month less bad debts.

Bad debts: Bad debts should be deducted in the month they are determined to be bad.

Inventory: Last month's inventory plus merchandise received and/or manufactured, less amount sold this month.

Accounts Payable: Previous month's payable plus current month's payable less amount paid during month

This information was excerpted from a 48-page U.S. Small Business Administration 
publication entitled The Business Plan- Road Map To Success.

This Form is Confusing...I need an original for duplication, JOHN

Monthly Cash Flow Projection

Name of Business___________________________________________________ In hundreds ______ or thousands ______of Dollars

Pre-start up position 1^st month 2^nd month 3^rd month 4^th month 5^th month 6^th month Total

Year______ Month: __________ __________ __________ __________ __________ __________ __________ __________

Est. Actual Est. Actual Est. Actual Est. Actual Est. Actual Est. Actual Est. Actual Est. Actual

Cash on hand at beginning

of month $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____

CASH RECEIPTS

Cash sales $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____ $_____

Collections on accounts $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Loans or other cash

injections $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Total cash receipts $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

CASH PAID OUT

Purchases merchandise $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Gross wages $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Payroll expenses (taxes, etc.) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Outside services $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Supplies (office, etc) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Repairs & maintenance $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Advertising $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Car, delivery & travel $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Accounting & legal $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Rent $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Telephone $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Utilities $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Insurance $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Taxes (real estate, etc.) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Interest $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Other $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Miscellaneous $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Sub-total $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Loan principal payments $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Capital purchases $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Other Start-up costs $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Reserve and/or escrow $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Owner's withdrawal $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Total Cash Paid Out $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Cash on hand at end of

month $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

ESSENTIAL OPERATING DATA

Sales volume (dollars) $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

End of month data:

Accounts receivable $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Bad debts $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Inventory $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $

Accounts payable $ $ $ $ $ $ $ $ $ $ $ $ $ $ $ $