Cash Flow Forecast Management Software

More About Forecasting

• Root Causes of Forecasting Headaches

  Creating accurate cash flow forecasts for both the near and long term is nearly impossible when data is stored on multiple, disparate systems inside the company and in multiple banks. Treasury needs to assemble critical data from disparate departments like accounting and others —for payroll, revenue, collections, tax payments, M&A activity—that are all separated from treasury. Without real-time bank data through APIs and without having that data seamlessly connected to the ERP, treasury loses awareness and control of new and evolving information. 

  Data access via third-party cash flow forecast software or spreadsheets demands the maintenance of multiple connections among multiple parties, causing delays and opening unwanted opportunities for error and fraud. Manual data collection requires reformatting data from multiple sources, absorbing precious time; when the accumulated data remains static and within the spreadsheet, treasurers cannot pursue the drill-downs necessary for accurate analysis. 

  Worse, treasury teams have been limited by cash management applications to receiving data at predetermined times in the day. With various bank files arriving at different times and with limited frequency, treasury teams are left to make crucial business decisions without certainty, compromising their role in the organization. 

• FinLync Advantages

  FinLync’s cash flow forecasting software is embedded in your organization’s system of record—your ERP—giving it a foundation in your most up-to-date information across departments for ERP forecasting. Unlike inflexible spreadsheets that depend on manual data imports and exports, the FinLync app draws upon dynamic data appropriate for ever-updating forecasts and reports.

  Simply put, real-time connectivity to an ever-changing data stream enables more precise forecasting based on the most timely information available from the general ledger like receivables, payables, payroll, treasury, sales orders and purchase orders, providing detailed visibility down to invoice level and categorized into reliability by AI-driven payment behaviors.  

  Deep ERP embedment of the FinLync cash flow forecasting tool enables deep drill-down capabilities and total data integration between your bank data and ERP data, allowing users to see, analyze and interpret the detailed information that leads to precision. Real-time connectivity becomes real-time forecasting, helping treasury teams anticipate events, analyze trends and improve investment decisions —without being handicapped by bank data timetables. 

• Common Questions About Cash Flow Forecasting Software

  Why Is Forecasting With Traditional “Solutions” So Difficult? 

  There are numerous problems with legacy cash flow management software, cash forecasting software and cash flow analysis software.

  First, dependence on bank data timelines contradicts the need for real-time analyses: You need data on your schedule, not theirs. Many companies have developed workarounds for these time limitations – ways to get “good enough” treasury forecasts despite having day-old, or older, data. This challenge is particularly difficult for global companies working with global banks. The treasury team creating the cash forecast may be based in New York City, but a material number of their banks are in APAC so they’re sent bank files during APAC business hours. By the time the New York team wakes up to create the forecast, the report is already stale.

  Second, there are many sources of data for a forecast – many faucets to the sink.  The incoming data must be imported/exported manually, reducing process speed and increasing errors. Without drill-down abilities and with treasury team resources already strained, spreadsheets cannot support the deep data analyses treasury teams must conduct for timely, accurate forecasts and reporting. Since all this data lives outside your ERP, forecasting becomes even more cumbersome. 

   

  What Are the Consequences of Inferior Data Access for Forecasting? 

  Cash flow forecasting software without real-time data means you don’t have the accuracy necessary for precise cash flow analysis and forecasting to combine with future cash flows information, exposing treasury to false estimates that lead to bad scenarios and consequences: excess cash sitting idle, or insufficient funds to meet needs, increasing interest payments. Without precise, real-time cash flow forecasting software, corporations may face higher borrowing costs or insufficient investment returns. 

   

  Why Should You Choose FinLync for Forecasting? 

  Real-time data is better than stale data.

  FinLync improves upon cash flow projection software in many ways. On-demand bank data automatically ensures access to current available cash balances. As a native ERP application, FinLync’s cash flow management tool leverages your internal systems to provide the most accurate forecasted cash flows. Our apps are lightweight, imposing minimal demands on budget and IT, making them easy to implement and maintain. Finally, FinLync’s cash forecasting software increases the value of the data and systems you already have, increasing the ROI of your ERP.