Cash flow is the lifeblood of your business, but cash balance is ever-changing. While it’s good to know what happened in the past month, it’s crucial to anticipate what’s going to happen tomorrow, next week, in 6 months, or even further down the track. Will you have excess cash to invest into your business, or should you be reigning expenditure in? An accurate cash flow forecast should map transactions as they happen in real life. Very few business transactions actually occur in a neat, monthly fashion; they can happen weekly or quarterly, in batches, or as one-offs. The value of a transaction may change too, depending on re-negotiation, inflation, or currency exchange rates. That’s why cash flow forecasting is so important to gain insight into the future of your finances.