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[Oliver Etherington]

How can we forecast our cash balance for future months using Manual Revenue in a Cash Flow Forecast with the knowledge that customer X can generate 30-60% of our company’s revenue and they are on 60-d terms.  Meaning if we forecast revenue in June of $1,000,000 we know ~60% won’t be paid until August.

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Oliver Etherington
Technivorm Moccamaster USA
Portland OR
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[Spencer Coulter]

Oliver,

Do you actually have the sales document in the system that you can just use the standard cash flow configuration to manage this or is it an expected order so you are doing manual? In general if you can use standard AR it will use the terms you have set on the customer card for the cash flow forecasting or if you have a customer that consistently pays early (or late) you can set a cash flow terms there as well to try to be more precise. If you are going to manually do it then its just a matter of inputting the expected cash timing for the proper period as a manual entry.

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Spencer Coulter
Director, Business Applications

RSM US LLP
D: 515.281.9248 F: 515.471.5261
E: Spencer.Coulter@rsmus.com
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[Ken Sebahar]

As a manual entry (no sales documents) this is going to be difficult to do in an automated fashion, particularly if you have seasonality or potentials swings in sales volume.  I typically advise people to use the Cashflow Forecasting as a month-end process for the purposes of providing a solid cashflow forecast for the next month (30 days).  This really isn’t due to any limitation of Business Central, but just the general uncertainty regarding forecasts where the farther out you go, the less reliable the forecast becomes. You should have data in the system to provide an accurate forecast for 30 days, possibly even 60 or 90 days depending on your lead times and payment terms for your business.

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Ken Sebahar
Solution Systems, Inc.
ken@solsyst.com
Podcast: A Shot of Business Central and a Beer!
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