In partnership with
Most cash forecasts assume everything goes right. Strong businesses plan for when it doesn’t AND they are working through multiple scenarios most months. Yes, each month there’s change and adjustments made. Plan isn’t set on/before January 1 and never adjusted again….Gotta stay busy with this.
Stress-testing your forecast means asking one simple question:
What happens to cash if receivables don’t come in when expected?
Start with simple AR risk scenarios
Scenario 1: Largest Customer Pays 2 Weeks Late
What happens to payroll coverage?
Do vendor payments need to shift?
Scenario 2: 20% of Expected Collections Slip 30 Days
Does your cash buffer hold?…free cash flow.
Do you need to accelerate collections elsewhere?
Scenario 3: A Dispute Delays a Large Invoice
Does your forecast absorb it?
Do you need to adjust spending timing?
Why this changes everything
You see pressure before it happens
You build backup plans calmly, not reactively
You gain confidence in your cash decisions
Keep it simple
You don’t need complex models. Test a few “what if” situations each month and adjust plans early. It will benefit you in the long run, always!
February is about receivables that actually convert to cash. Stress-testing makes sure your forecast reflects reality, not optimism.
If your forecast hasn’t been pressure-tested, reply to this email, message me in the community, or email [email protected]. Strong forecasts plan for risk.
Here’s how I use Attio to run my day.
Attio is the AI CRM with conversational AI built directly into your workspace. Every morning, Ask Attio handles my prep:
Surfaces insights from calls and conversations across my entire CRM
Update records and create tasks without manual entry
Answers questions about deals, accounts, and customer signals that used to take hours to find
All in seconds. No searching, no switching tabs, no manual updates.
Ready to scale faster?
Sponsoring the Cash Flow Chronicles today is DEEL!
Thank you for supporting our newsletter. Each time a reader engages with our sponsor’s ad, this directly supports CFC’s mission to be the TOP FINANCIAL newsletter Beehiiv has to offer.
Even if you do not buy a product, subscribe, etc. this greatly supports our mission. Take 5 seconds today and check them out!
Payroll errors cost more than you think
While many businesses are solving problems at lightspeed, their payroll systems seem to stay stuck in the past. Deel's free Payroll Toolkit shows you what's actually changing in payroll this year, which problems hit first, and how to fix them before they cost you. Because new compliance rules, AI automation, and multi-country remote teams are all colliding at once.
Check out the free Deel Payroll Toolkit today and get a step-by-step roadmap to modernize operations, reduce manual work, and build a payroll strategy that scales with confidence.
Veteran business owner? Take command of your cash flow and tighten your financial systems. Join The Profit Platoon — a community built for Veterans.
