Budgeting is one of the tools to manage the cashflow efficiently. It helps the business in anticipating upcoming revenue and capital expenditure and how they are going to source the funding for the same. However, we need to keep in mind that only preparation of the budget does not guarantee successful management of the cashflow. The essence lies in preparation of the budget and then sticking to the same. If we do not do periodic review of actual Vs budgeted expenses, simply preparation of the budget will not serve any purpose.
We at Enlaiven help our clients in preparation of the budget and then we do a periodic review of the same with actual expenditure incurred. Based on this, we suggest our clients whether they are on track with the budget or they are deviating from the same. If they are deviating, is there a solid reason to do so and what can we do to avoid the same in future.
Forecasting on the other hand is all about anticipating revenue and expenditure for coming future and how the business is going to allocate the budget to the future period. This helps business in determining where they want to go, what is the growth % they are expecting period over period after considering corresponding increase in direct and indirect expenditures. We understand the business of our clients, we analyse historical financial numbers and after detailed discussion with our clients, we prepare Forecasting reports which helps them to have a futuristic approach towards the business and accordingly helps them to take important decisions.
Do you have questions about any of our services? Whether it’s Bookkeeping, Accounts Payable & Receivable, Sales Tax, Budgeting, Forecasting, or Payroll Services, we can help. From ongoing cashflow management to a one-time clean-up of your books to mergers, de-mergers, and accounting software migrations, Enlaiven will deliver exceptional solutions.