Cash-Flow Forecast

Me and Yaf took a trip down to the bank to speak to an advisor about business loans and to speak to him about how we would go about making our business plan.

The advisor told us that we need to create some Cash flow forecasts to show our incomings outgoings on a monthly basis. This will show how our income will go from initially losing money while we our getting our selves out there and when we build up our client base we can progress and start making money.

He showed us some examples of other customers (without showing any names because of customer privacy issues) to show how to do it and I feel confident with the financial information we have gathered that I can complete one for our studio.

The other area he covered with us was what financially we would cover and what the bank loans are supposed to pay for. Essentially the studios incomings would have to pay for its rental so this would be something we would cover and things like initial set up equipment would be what the bank would pay for.

Bank loans are rounded up to the nearest £500
An example cash flow forecast