During this difficult time following the outbreak of the Covid-19 Pandemic many businesses especially across the retail and hospitality sector have suffered greatly.
Craiglockhart Financial Services have several clients in these industries, and it has become apparent that cashflow Forecasting has become an important business function. Many of our clients had little experience in the generation of such models and that is where we have been able to help.
Why have these models become important? Following a significant reduction in a businesses income it is important to be able to establish all the essential costs that a business will need to meet in order to stay in existence. These will range from rent to insurance to essential staff costs. Modelling will enable a business to see clearly when these costs will fall due and when they are likely to run into cash difficulties.
A number of schemes that have been available for businesses to access from both the government and other organisations in the form of grants and loans. To access some of these funds a number of business have been required to put together cashflow models.
Of the software packages that we are able to support our clients some of them have existing functionality that we have been able to access and in some cases we have been able to build simple, easy to use excel models.
In addition to the cashflow work it has also become apparent that credit control is an important function in a business day to day processes. It is very obvious that those businesses that are able to stay on top of and are strict with their credit control terms are able to maintain better cashflow.
As well as Craiglockhart Financial Services being able to help with these essential processes we have been able to assist with funding applications and helping with the calculation and application for furlough funds. If you have any questions relating to this topic or any other of our services do not hesitate to contact us.