Cash Flow Management for Small Business Owners [Template]

We’ve partnered with our friends at Bench to bring you a cash flow forecast template to help you see a more holistic picture of your companies’ finances and better predict what's ahead for your business.

Cash Flow Management Template for Small Business Owners

This article is for educational purposes and does not constitute legal, employment, or tax advice. For specific advice applicable to your business, please contact a professional.

Cash flow management is critical to growing your small business and mitigating unexpected costs that pop up, but often managing finances can be complicated. Having the right tools can help you forecast how much you’ll earn in the next month, quarter or year.

So, what is cash flow, and why is it so important? Cash flow is the total amount of money being transferred into and out of your business. If your business is cash flow positive, that means the cash coming into your business (from sales or accounts receivable) exceeds the amount of cash leaving (through paying monthly expenses or salaries for employees, for example).

Managing your cash flow empowers you to reinvest capital back into your business, so you can move forward with other investments, like marketing or hiring, for example.

We’ve partnered with our friends at Bench to bring you a cash flow forecast template to help you see a more holistic picture of your companies’ finances and better predict what’s ahead for your business.

What you'll gain:

Tactical guidance

Use the template to account for operating cash, total sources and uses of cash month by month. By accounting for all cash sources you can better predict what you might need to save for an emergency fund or towards goals for your business.

Total Your Cash Balance

Learn to calculate your ending cash balance by combining your operating cash and total sources and uses of cash. The ending balance of your cash flow statement is key to seeing a clear financial picture of the cash going in and out of your business.

Uses and Sources of Cash

Distinguish the different types of uses and sources of cash that are already a part of your day to day business operations. Gain an understanding of how everything from lines of credit to transaction fees should be considered in your cash flow statement.

Forecast Future Cash Flow

Better understand the difference between cash flow and profits and losses as well as leverage Bench and Square products to better manage your cash flow and gain a deeper understanding of bookkeeping best practices.