what are the disadvantages of a cash flow forcast? please help, thanks.?

Answer 1

Disadvantages ???

None that I can think of ... it's a bit like asking "Whats the disadvantages of knowing the traffic lights are red ?"

If you don't pay attention to your Cash Flow forecast, you can be sure something is going to run into you that might be fatal == (lack of) Cash Flow is THE major reason for small Business's going under ...


Stop press - just thought of one - if your Bank Manager or your Suppliers discover your Cash Flow forcast shows you will go bust later in the year, they might pull the plug now (i.e. call in your overdraft, cancel your trade credfit & demand payment for goods up-front). ..