Profitable on Paper, Short on Cash?

A business can record sales and still be unable to pay a bill when customers pay late.

Week 1: Money In Matches Money Out

Our fictional example starts with $6,200, collects $1,600 and pays $1,600. Cash stays at $6,200.

Week 2: Deposits Improve the Balance

With $2,200 received and $1,620 paid, the fictional business closes the week with $6,780.

Week 3: An Equipment Bill Changes the Picture

A $1,000 equipment purchase helps push spending above receipts. Sample closing cash drops to $5,500.

What If Your Biggest Customer Pays Late?

Moving a $1,400 payment by one week can create a reserve gap, even if the invoice is still collectible.

Plan the Next 13 Weeks, Then 12 Months

Track weekly bills and deposits first. Use the monthly view to plan seasonality, hiring and large purchases.

Get the Free Cash Flow Forecast Workbook

Download the English Excel template, replace its sample figures and review your actual bank balance every week.