Cash flows using the direct method
Cash flow reports can be obtained through the direct or indirect method. Of these, the direct method is by far the one that can provide a clear and complete understanding of the elements that determine the cash flows of a company. For this reason, Cash Flow was built to generate this report exclusively by the direct method.
The user has full control over the structure of the report, being able to choose those elements present in the application that determine the company’s cash flows. In this way, the level of detail desired by the user can be tailored to the individual needs in ordet to obtained the desired structure of the report, for example: cashing by channel, different types of expenses, investments, taxes, repayment of loans, interest, etc.
What information can be obtained
The report generated by the app contains both actual cash flows for past periods, as well as estimated future cash flows over the period of time the user desires. The information can be presented at week, month, or year level, depending on the selected grouping option.
This provides detailed information about all sources of cash inflows and outflows of a company. At the same time, it is possible to obtain very valuable information about the future level of available cash or about the future financing needs of the company, even at weekly level.
The application can work with several parallel scenarios. This means that if you want to evaluate the impact of different market conditions or different projects on your company’s cash flows, you can create multiple scenarios in the app and view their impact on company cash flows.
The app’s features are as follows:
Integration with the other CRAFT Solutions products
By integrating Cash Flow with the Budgeting app, importing the budget can be fully automated, reducing the time required to manage the application and eliminating human errors.