A 13-week cash flow forecast for an invented Mandan, ND tattoo studio, grouped into four blocks, with moves that improve cash flow and the invented cost of a short line draw. A funding partner, not this blog, decides on any request.
How to Prepare a Cash Flow Forecast: A Mandan, ND Tattoo Studio Lists Every Deposit and Bill
A cash flow forecast is a week-by-week list of money expected in and money going out, with a running balance. A tattoo studio in Mandan, ND can build one in an afternoon.
- Start with the balance in the business account today
- List expected receipts by week: booking deposits and session payments
- List every bill by the week it leaves: payroll, rent, ink and needles, the owner's draw
- Add one-time costs in the week they fall, such as new client chairs
- Carry the balance forward week by week
- Mark the week with the smallest balance and decide what covers it
A 13-Week Cash Flow Forecast, Grouped Into Four Blocks
Illustration only, invented figures: the studio starts with $6,415, pays payroll of $3,185 every other week and rent of $2,260 every fourth week, and buys two adjustable client chairs for $6,530 in week 6 of this invented forecast.
| Weeks | Cash in | Cash out | Balance at the end |
|---|---|---|---|
| Weeks 1-3 | $12,650 | $10,545 | $8,520 |
| Weeks 4-6 | $11,680 | $20,260 | $60 below zero |
| Weeks 7-9 | $12,140 | $10,545 | $1,535 |
| Weeks 10-13 | $16,510 | $15,430 | $2,615 |
Inside the blocks, the invented balance is thinnest at the end of week 6, when it falls $60 below zero. A block total can hide a single tight week, so the weekly rows behind the table matter more than the totals.
How Can a Business Improve Cash Flow Before It Borrows? Moves the Studio Could Test
- Take a larger booking deposit for long sessions
- Ask the chair supplier whether payment can be split across two months
- Move the owner's draw to the week after rent leaves
- Order ink and needles every two weeks instead of every week
- Hold back a one-time purchase until after the tightest week
Each move shifts money between weeks rather than adding any. If the tightest week still comes up short after them, borrowing for a few weeks is one option.
When the Forecast Still Dips: A Short Line Draw Priced Out
Illustration only, invented figures: to cover the week 6 gap with some room to spare, the studio draws $1,315 on a line of credit at a 13.88% annual rate and repays it after 24 days. In this invented case, the simple daily interest is $12.00.
A one-time gap tied to a purchase may instead suit a short working capital loan with fixed payments. Which of the two, if any, gets offered is up to the funding partner.
Posts on a Cable Plow, Window Deposits, Diesel Bays, Burnisher Hours and Loan Records
Each post follows one invented Mandan, ND business through a single decision, with the payments worked out in code:
- Dealer rate sheets against bank quotes: an electrical contractor prices a vibratory cable plow three ways
- Foundation-to-finish cash flow: a window and door installer carries supplier deposits on three houses
- Diesel and light-truck bays: a DPF cleaner, an R-1234yf machine and core charges on a line draw
- Burnisher hours and the lease question: a janitorial company sets an hour allowance against a loan
- Purpose, amount, paperwork: a smoothie and coffee bar takes the first steps of a loan request
- What lenders check: an engineering and surveying firm works out its payment coverage
By Thistlepine Capital · Updated