Cash Flow Calculator

Determine the cash flow generated by your business

In business it can be difficult to balance out the movement of money between a multitude of revenue and expenses, and having a calculator can help you assess your cash flow accurately. This is especially helpful for business owners that want to spend more time strategizing their business, or for potential business owners deciding if a certain business is a good venture. From your outcomes you can create a projection of future money streams, decide if a potential business is viable, and make important decisions on future expenditure.
Examine the components that affect your net income easily
Lack of cash is one of the biggest reasons small businesses fail. Thus, cash flow is an important factor in the growth of a business and can move through the company in many ways. Cash flows in from clients or customers that are purchasing products or services, while flowing out of the business for expenses such as rent and loan repayments.
By assessing all cash flow from your current or projected operations as well as your investment returns, you can begin to assess your ability to meet your financing obligations. This means covering inventory costs, rent, and staff payroll as well as measuring business viability. Therefore, this calculator can be a great tool to improve future money streams when used to identify areas of excessive spending.
Using the cash flow calculator
While the cash flow calculator is fairly straightforward to use, it requires comprehensive knowledge of your business finances. Most of this information should be accessible through your business account, but may require some time to sort through properly.
When this information is added to the cash flow calculator you will be able to see the cash available from the beginning of the period in comparison to the cash available at the end of the period. This should help you determine if your company is in a positive or negative cash flow situation, or if a potential business venture will be lucrative.
How often should you check your business cash flow?
The best way to keep track of cash flow in your business is to run regular cash flow reports and calculations. It is important to update cash flow as things happen in the business- like when you get a cheque or send out an invoice, whereas cash flow reviews should be done each week. Even if you have been updating cash flow weekly you should still do a more in-depth review once a month to look at your overall financial position.
How to use the cash flow calculator
The cash flow calculator is comprised of two segments: an information intake and a results section. Within the information intake is four subsections; cash at beginning of period, cash flow from operations, cash flow from investments, and cash flow from financing. It is worth noting that if a question or variable does not apply to your situation it may be left blank and will not affect the accuracy of the calculations.
Cash at beginning of period
1. On the first line of the calculator you may add the total available cash at the beginning of the period and continue on to the next subsection.
Cash flow from operations
1. On the first line of this subsection you should add revenue received from customers. This amount should be based on total receipts, not just sales and accounts receivable. An increase in your accounts receivable may increase your profit on paper but is not an accurate measure of cash flow.
2. Any other cash receipts should be added to the second line in this subsection.
3. Include your total payments for inventory on the third line, which should again be based on paid receipts not accounts payable.
4. Finally, include any payments towards insurance, rent and lease, advertising, payroll, interest, taxes, and any other payments as applicable from lines four to ten.
Cash flow from investments
1. In this subsection you may document any profits from property sales or investment sales such as stocks or bonds from other companies on first and second line of the subsection, or any investment other activity resulting in profits on line three.
2. Next you should add any land or equipment purchases to capital expenditure on line four, while including any cash used for purchases of investment holdings or any cash used for other investment activity on line five and six. Exclude any stock buy back and debt retirement, as they are included in the next section.
Cash flow from financing
1. In the first line of this next subsection you may begin to add any increases in lines of credit or new borrowing funds.
2. Then on the second line include any net profits from stock issuing (the profit after any fees).
3. Finally, you should add any cash received from capital contributions, money used for loan repayments, as well as any cash dividends or distributions paid out this period from line three to six.
Your cash flow results
Once your applicable information is added to the cash flow calculator your results will be divided onto graphs and information summaries based on your inputs.

cashflow breakdown

To the right of the information inputs you will be provided with subtotals of cash flow from your operations, investments, and financing. You will be able to pinpoint the areas of your business resulting in the greatest profits and expenses, which may be helpful in identifying areas of over spending to help structure future money streams.
cashflow calculator
Then, below the information inputs you will be provided with a bar graph highlighting your cash available at the beginning of the period in green, along side your cash available at the ending of the period in blue, with the dollar values clearly labelled in each. This graph provides a simplified view of the profits and viability of the business through this comparison. No company is without debts and payments, but a successful company will show a positive cash flow.
Please remember to rate your experience with the cash flow calculator and sign up to receive member benefits and calculator widgets.