Monthly Cash Flow Projection

Name of Business ___________

Owner ___________

Type of Business ___________

Month/Year Being Projected ___________

Prepared by ___________

Date ___________

Cash on Hand (beginning month) ___________
Cash Receipts:
1. Cash Sales ___________
2. Collections from Credit Accounts ___________
Total Cash Receipts (2a+2b+2c)=3 ___________
Total Cash Available (before cash out) (1+3) ___________
Cash Paid Out:
1. Purchases (Merchandise) ___________
2. Gross Wages (excludes withdrawals) ___________
3. Payroll Expenses ___________
4. Outside Services ___________
5. Supplies (Office and Operating) ___________
6. Repairs and Maintenance ___________
7. Advertising ___________
8. Car, Delivery and Travel ___________
9. Accounting and Legal ___________
10. Rent ___________
11. Telephone ___________
12. Utilities ___________
13. Insurance ___________
14. Taxes ___________
15. Interest ___________
16. Other Expenses (specify each) ___________
17. Miscellaneous (unspecified) ___________
18. Subtotal ___________
19. Loan Principal Payment ___________
20. Capital Purchases (specify) ___________
21. Other Start-up Costs ___________
22. Reserve and/or Escrow (specify) ___________
23. Owner's Withdrawal ___________
Total Cash Paid Out (5a through 5w) ___________
Cash Position (end of month) (4 minus 6) ___________
Essential Operating Data (non-cash flow information):
1. Sales volume (dollars) ___________
2. Accounts receivable (end on month) ___________
3. Bad debt (end of month) ___________
4. Inventory on hand (end of month) ___________
5. Accounts payable (end of month) ___________
6. Depreciation ___________

Instructions for Monthly Cash Flow Statement:

Cash on hand (beginning of month)
-- Cash on hand same as (7), Cash position, previous month
Cash receipts
1. Cash sales -- All cash sales. Omit credit sales unless cash is actually received
2. Gross wages (including withdrawals) -- Amount to be expected from all accounts
3. Loan or other cash injection -- Indicate here all cash injections not shown in 2(a) or 2(b) above
Total cash receipts (2a+2b+2c=3)
Total cash available (before cash out)(1+3)
Cash paid out
1. Purchases (merchandise) -- Merchandise for resale or for use in product (paid for in current month)
2. Gross wages (including withdrawals) -- Base pay plus overtime (if any)
3. Payroll expenses -- Include paid vacations, paid sick leave, health insurance, unemployment insurance, (this might be 10 to 45% of 5(b))
4. Outside services-This could include outside labor and/or material for specialized or overflow work, including subcontracting
5. Supplies (office and operating) -- Items purchased for use in the business (not for resale)
6. Repairs and maintenance -- Include periodic large expenditures such as painting or decorating
7. Advertising -- This amount should be adequate to maintain sales volume
8. Car, delivery and travel -- If personal car is used, charge in this column, include parking
9. Accounting and legal -- Outside services, including, for example, bookkeeping
10. Rent -- Real estate only (See 5(p) for other rentals)
11. Telephone
12. Utilities -- Water, heat, light and/or power
13. Insurance -- Coverage on business property and products (fire, liability); also worker's compensation and fidelity. Exclude executive life (include in 5(w))
14. Taxes -- Plus inventory tax, sales tax, excise tax, if applicable
15. Interest -- Remember to add interest on loan as it is injected (See 2© above)
16. Other expenses (specify each):
  _______________________________________________
  _______________________________________________
  Unexpected expenditures may be included here as a safety factor
  Non-capital equipment expenses (when equipment is rented or leased) during the month should be included here
17. Miscellaneous (unspecified) -- Small expenditures for which separate accounts would be practical
18. Subtotal -- This subtotal indicates cash out for operating costs
19. Loan principal payment -- Include payment on all loans, including vehicle and equipment purchases on time payment
20. Capital purchases (specify) -- Nonexpensed (depreciable) expenditures such as equipment, building purchases on time payment
21. Other start-up costs -- Expenses incurred prior to first month projection and paid for after start-up
22. Reserve and/or escrow (specify) -- Example: insurance, tax or equipment escrow to reduce impact of large periodic payments
23. Owner's withdrawals -- Should include payment for such things as owner's income tax, social security, health insurance, or executive life insurance premiums
Total cash paid out (5a through 5w)
Cash position (end on month) (4 minus 6) -- Enter this amount in (A) Cash on hand following month
Essential operating data (non-cash flow information) -- This is basic information necessary for proper planning and for proper cash flow projection. Also with this data, the cash flow can be evolved and shown in the above form.
1. Sales volume (dollars) -- This is a very important figure and should be estimated carefully, taking into account size of facility and employee output as well as realistic anticipated sales (actual sales, not orders received).
2. Accounts receivable (end of month) -- Previous unpaid credit sales plus current month's credit sales, less amounts received current month (deduct "3" below)
3. Bad debt (end on month) -- Bad debts should be subtracted from (2) in the month anticipated
4. Inventory on hand (end on month) -- Last month's inventory plus merchandise received and/or manufactured current month minus amount sold current month
5. Accounts payable (end of month) -- Previous month's payable plus current month's payable minus amount paid during month.
6. Depreciation -- Established by your accountant, or value of all your equipment divided by useful life (in months) as allowed by Internal Revenue Service

Information courtesy of the Small Business Administration.