Quick Cash Flow MethodDec 23, 2023
There is something about the "gulp" moments we get when we don't know if our money is going to cover everything that is coming down the pipe. What are the critical things I need to cover in my business expenses?
Having a "Quick Cash Flow" method can help you plan the most urgent things and ensure you are not overspending in your business without deep diving into your entire biz bean$ eco system.
Here's 3 ways you can do a quick cash flow right now!
1. Pen and Paper
To many this is very old school and not the most popular method. However, we sometimes need to remember that our brain's memory comes from things we actually write down. Physically writing things has a direct connection to our recall abilities, more than a digital way.
2. Use a Calculator
If you are in a rush and just have digits in your head, punch those calculator buttons on the fly, or even ask a digital device to do it for you, we often forget "Siri" or "Alexa" are availabel to help us 24/7.
3. A Quick Spreadsheet
This is my personal favourite as I can reuse this time and time again by copying and pasting once I've done it the first time.
Bring it Together
To get your Quick Cash Flow done, all you need is your Cash on Hand (COH) figures, either from your single bank account or if you have mulitples, adding those together.
Then you want to have the most important expenses (EXP) listed in order or priority, this can be what you need to pay out first or even, what you want to keep for next week or the week after.
Then your simple calculation is:
COH less EXP = Balance
Once you know the Balance, if needed, you can rework the figures to cover more or less and this can be the amounts or over what time period.
Making this Quick Cash Flow will help you know where your bean$ are up to and also put you more in control of them, and sleep better at night with your finger on the pulse.
Cheers to being in control of your cash flow!
Join Kerry Zarb in the Virtual Café every week to take control of your flipping digits on The Money Barista Podcast.