If your forecast seems to be missing information, it is probably due to invoices being left out of the forecast as they are overdue OR you have not created rules for expect revenues or expenses.
1. Overdue Invoices
Build Scenarios > Collections or Payments > Overdue Invoices
If there are invoices past their anticipated payment dates they are highlighted in RED. These invoices are excluded from the forecast as we don't know when they are going to be paid.
You can update the anticipated payment dates of these invoices individually or in bulk based on reconfirmed dates or based on assumption.
2. Forecast Revenue and Expenses
Review Forecast> wheel down to Cash In or Cash Out > Add Rule or Edit Rule
A realistic forecast needs to take into consideration revenue and expenses that are not current on the ledger.
In the forecasting tool you can add recurring payments or one-off payments. You can add in payments at a customer or supplier level. Important to remember, when forecasting by customer or supplier, any invoices that are raised with against those contacts will automatically be offset against the amount forecasted so there is no doubling up of forecasts.
If you want forecast with a new customer or supplier OR you want to forecast by a category, 'weekly revenue' for example, you can select "Add Account" in the drop down and create a custom payment.
What are important transactions that need to be added to the forecast?
For 3 months forecasting it is important to add rules related to the following:
- Revenue by customer
- Statutory Obligations ie. PAYG, Superannuation and GST
- Key overheads ie. Wages and Rent
- Payments due by supplier