The liquidity plan is a central planning tool in companies and acts as an early warning system. It illustrates the course solvency will take over the coming weeks and months. If financial difficulties become apparent, this gives you the opportunity to plan and perform countermeasures at an early stage.
The plan contains a comparison - as accurate as possible - of expected cash inflow and outflow. All company payment flows are to be recorded here: wage and salary payments as well as fees and invoice customer payments. In order to meet the liquidity plan objectives, close observation of all cash flows is important, a taking account of potential invoice payment targets, and a calculation of the amount of taxes. These efforts are time-consuming and prone to errors.
Liquidity planning outsourcing – having experts draw up your liquidity plan – affords competent assistance to your controlling, relieving you of doing this complex task in-house. Company capacities are thus released and may be applied to your key competencies. Our experts are experienced in devising an exact budget plan and are therefore able to immediately identify possible savings potential, thus lowering your liquid funds.
Liquidity management planning covers all incoming and outgoing payments. All expected sales revenues are to be recorded in incoming payments. Increased equity or debt capital should also be documented here, as these factors too may impact a company’s solvency. Outgoing payments include, among other things, expenditure for investments, costs of purchases caused by revenue figures, personnel and operating expenses, taxes, private withdrawals, and expenses for loan repayment including interest. It is important that the figures are displayed as precisely and realistically as possible.
Also, chronology should be consistent. Excellent liquidity planning is not only created well, but updated regularly. In business practice, it is common for discrepancies to occur between planned and actual cash flows. These should be tracked and analyzed in planning to achieve greater accuracy in the future. Outsourcing liquidity planning thus offers a range of benefits for your business.
Opting for liquidity planning outsourcing and using our comprehensive a href="https://www.dfr.ag/en/accounting/">accounting know-how, you will expand your options to quickly uncover potential savings, thus enjoying a better cost-benefit ratio. Our expertise will help you avoid liquidity shortages, get a realistic assessment of your budget and reduce the workload of your internal accounting department. On top of this, you will get extensive transparency of your company's cash flows, increase your interest results and strengthen operational financial planning.
Rolling planning enables us to adjust forecast payments in a timely manner and thus carry out accurate budget planning as well as concrete investment planning. Careful liquidity planning creates benefits for companies in every industry, from medium-sized businesses to large global corporations. We assist you in these and various other financial planning tasks, applying our extensive expertise and many years of experience. Hiring us for outsourcing your liquidity planning, you will increase the planning accuracy of your financial resources and boost your company's success in the long term.
Not only for long-standing businesses, but also for newly established companies, good and careful liquidity and financial planning is an essential tool whose influence on success is considerable. The plan reveals financial strengths and weaknesses right away – it makes visible capacities for improvement, thus giving you the chance to avoid losses. When a company is founded, there are typically no empirical values available yet. Here, an efficient early warning system that includes reliable forecasts about the company's solvency is all the more helpful in supporting entrepreneurial success right from the start.
Company founders lacking sufficient expertise may opt for liquidity planning outsourcing – and benefit from the sound knowledge of accomplished financial planning experts. Keeping an eye on expenses is essential, especially during the start-up phase of a company. Frequently, this is where significant savings potential can be found. By outsourcing liquidity planning, you will harness this potential right from the start. In addition, solid financial planning covers all relevant factors, including those often overlooked in day-to-day business, such as small expenses, private withdrawals or fiscal expenditures. As a result, you are fully prepared for many of the challenges that arise when starting a business – you will ensure the requisite level of security.
Careful planning is an essential prerequisite for effective corporate management. This is also true for your liquidity planning outsourcing. Planned values are the foundation for assumptions by which operational decisions are made. If the values stated in planning are too inaccurate or wrong, this will result in management errors and economic losses. Thorough financial planning with appropriate budget and liquidity planning as well as a realistic forecast with regard to expected revenues is therefore a solid base for any entrepreneurial activity.
The terms financial and liquidity planning are often used synonymously, which is only partially correct. While liquidity planning deals with the difference between incoming and outgoing payments, the finance plan covers all aspects regarding company capital. The latter forms the basis for the procurement of debt and equity capital. The liquidity plan, meanwhile, serves as the core of the finance plan, which is broader in scope and may include liabilities, receivables and depreciations. In addition, liquidity planning is a short-term tool ensuring the business has sufficient liquid funds available at all times – financial planning, by contrast, is geared towards long-term concerns.
Are you interested in outsourcing your liquidity planning? We provide you with our expertise in this area and show you how to optimize the cost/revenue ratio in your company. If you would like us to carry out your liquidity planning outsourcing, please contact us. We are your competent business partner regarding outsourcing of subtasks in accounting, as well as human resources management and controlling. We are firmly at your side in many affairs. We are happy to go beyond liquidity planning outsourcing – if desired, we carry out qualified travel expense accounting for you, take care of your external personnel administration or take on accounting tasks such as payment transactions, dunning and reporting or your budget planning.
With our experts outsourcing your liquidity planning, you will get assurance of your solvency, enjoy accurate monitoring of payment targets, and you will receive concrete investment planning. We also provide date for your bank, should you book liquidity planning outsourcing with us. Just contact us for more informatio