3-in-1 INTEGRATED Cash Flow Calculator
From the same few entries, immediately see a projected monthly Profit & Loss statement, PLUS Inventory Buying Plan ("Open-to-Buy"), PLUS integrated Cash Flow projection.
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Questions about Entries?
Recap of Expense "Buckets" | PROFITS tab entries | INVENTORY tab entries | CASH tab entries
Now, time to play "What if...?" | Keep a Copy | For more detail, go to 3-in-1 Calculator USER Guides
Take a Test Drive!
Use these entries from a Sample Company. Quickly try it out for yourself.
Still Have Questions?
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Since 1999, empowering retailers and store owners to "Turn on your financial headlights!"
MONTHS - Start with any month of a 12 month period.
Select your Start month from the drop-down menu. It will be displayed on all screens.
Estimated SALES - Enter @Retail, without sales tax.
Round all entries to the thousands. Examples: $42,385.22 becomes 42.4; $5,787.92 becomes 5.8; $385.33 becomes 0.4
GROSS MARGIN % - Enter estimated Gross Margin (Gross Profit) percent for each month of the 12 month period.
Enter maintained margin, after markdowns. Can be up to one decimal place (tenths of percent).
Examples: Enter 44, becomes 44.0%; enter 38.5, becomes 38.5%
EXPENSES - The Calculator needs just one entry for each expense "bucket".
Variable expenses are entered as a percent of sales. Use whole numbers to one decimal place
Examples: Enter 12.5, becomes 12.5%; enter 10, becomes 10%
Fixed expenses are a flat $ amount for each month. (Take totals for the year and divide by 12 to get an estimate of yours.) Round all $ entries to nearest thousand.
Examples: $8,673 becomes 8.7; $12,229 becomes 12.2
(See details in About "Expense Buckets" link.)
When projecting, it is easier to group expenses into 5 major categories, or "buckets".
Variable expenses are a percent of sales; the monthly dollar amount rises and falls as sales fluctuate.
Fixed expenses average essentially the same dollar amount each month.
(If you've not yet set up these categories on your P&L, use The ROI's SPEEDY Expense Analyzer.)
SELLING Expenses -
Examples: Store payroll, including taxes and benefits; Advertising; Bags & boxes; Special events; etc.
OCCUPANCY Expenses - Fixed expense, essentially flat $ amount each month
Examples: Rent; Utilities; Maintenance; Security; CAM charges; etc.
ADMINISTRATIVE Expenses - Fixed expense, essentially flat $ amount each month
Examples: Management salaries (Owner; General Manager; Buyer) including taxes and benefits; Support staff/services (bookkeeping; IT; warehouse; marketing); Interest on borrowed money; Professional services (legal, accounting); Training; Travel; All other expenses not included elsewhere.
TAXES - Federal, State, Local taxes not included elsewhere.
DEPRECIATION/AMORTIZATION - Fixed expense, essentially flat $ amount each month.
These are non-cash expenses, and must be kept separate in order to project the Cash Flow.
Open-to-Buy Plan Inputs
Beginning Inventory @Cost - Enter the approximate amount of total inventory on hand at the start of your 12 month planning period. Close counts! Round $ entries to nearest thousand
Targeted Inventory Turns - Choose your targeted inventory turnover rate from the dropdown menu.
The Key: Cash Flow
Current Inventory Payables - Estimate of your total Accounts Payable for inventory (only) purchases. Close counts! Round $ entry to nearest thousand.
Example: Enter $127,835 as 127.8
Long Term Loan Payments - Enter monthly payments (principal only) for any existing Long Term loans. Round $ entry to nearest thousand.
Cash on Hand - Estimate of cash available at beginning of the 12 month planning period you are using. Close counts! May also be a negative entry to reflect payments/checks waiting to clear. Round $ entry to nearest thousand.
AND THAT'S IT!
The INTEGRATED Calculator brings over (integrates) all other needed entries from your Profit Plan Inputs, Projected P&L, and Projected Open-to-Buy Plan.
Look at Your Projections; Adjust As Needed
Does your projected P&L show you will have a loss?
Does the cash flow projection show cash shortfalls ahead?
Try out some "What if...?" adjustments. Immediately see the effect!
CHANGE SALES and/or GROSS MARGINS?
On the Profits screen, change Sales in any month(s). Remember to adjust Gross Margins in those months as needed. Then, go to the Projected Cash Flow to see the effect.
On the Profits screen, adjust your planned expenses. Then, return to the Projected Cash Flow to see the effect.
CHANGE INVENTORY TURNS?
On the Inventory screen, enter a higher turnover rate. Then, go back to the Projected Cash Flow to see the effect.
GET DATING FROM VENDORS?
The Projected Cash Flow allows you to show the effect of Dating on your Cash Flow. Enter the $ amounts to be deferred in the appropriate month(s); ALSO enter the $ amounts due to be paid in the appropriate month(s). All entries are positive amounts; round all $ entries to nearest thousand.
The Projected Cash Flow includes inputs for Loans Received and Loan Repayments. (Note: Interest on the borrowed funds must be added into Administrative Expenses on the P&L inputs.)
CAUSE-EFFECT, CAUSE-EFFECT, CAUSE-EFFECT
Just add your judgment. The INTEGRATED "What if...?" Calculator does the number crunching for you.
Adjustments all in? Like what you see? Great!
Now, print it out: Your INTEGRATED Retail Financial Plan
You will get:
Projected PROFIT & LOSS STATEMENT
Monthly "big picture" operating budget for you.
And Projected INVENTORY BUYING PLAN (Open-to-Buy)
Based on your planned sales, margins, and targeted turnover rate, a monthly buying plan for your total operation. Each month's targeted ending inventory is a key number!
And Projected CASH FLOW
Fully integrated Cash Flow plan specifically for retailers: reflects the effect of inventory purchases, sales, margins and expenses on your cash flow.