The advantages of cash flow forecasting are: 1.Cash flow is usually more pure. 2.Cash is a king. Once you are out of cash or you have insufficient cash to pay your interests or meet your working capital liabilities, you are bankrupt.

Cash flow forecasting is very important planning tool as by using this, management can foresee that when in future they are short in cash so they can arrange enough liquidity before the situation arises as well as if they have more cash than their requirements, they can invest extra cash in short term securities and investments to earn some interest income from it.

Adaptive Planning, Van Guards, and Intiuit Community are all places where an individual or business can go in order to find Cash Flow Forecasting Software online.

Cash forecast is a forecasting activity in which future is predicted while in cash flow statement only cash inflows and outflows are shown which are already done.

Cash flow projection is the most powerful tool in cash management. It enables companies to see the cash flowing in and out of an organization. The direct method of cash flow forecasting is to use the direct cash receipts and disbursements method.