Skip to main content

Original text


Powered by Google TranslateTranslate
Powered by Google TranslateTranslate
12 Month Cash Flow Statement
>
February 15, 2024
Rating
Young male entrepreneur reviewing finance reports in home space
Download Template

The 12-month cash flow statement is one of the three fundamental financial statements for a business. (The other two are the balance statement and the profit and loss statement.)

Like a checking account statement, the cash flow statement shows the money going into and out of your business. You'll include a cash flow statement in the financial section of your business plan. 

What is in a Cash Flow Statement?

The cash flow statement includes:

  • Cash received. This might include income from sales, loan proceeds or interest income. You can estimate when you will get paid if you’ve already made sales or received orders.
  • Cash paid out. This includes inventory, other purchases, payroll, rent, utilities, taxes, and loan payments. (This cash flow statement template consists of a “pre-startup” column for cash paid out before the cash flow statement period begins.)

Subtract cash paid out from cash received, and you have your cash position for the end of the month.

How to Use a Cash Flow Statement

For new and growing business owners, every dollar counts. Cash flow problems are a common cause of small business failure. Reviewing the company's cash flow statement regularly can help entrepreneurs avoid this fate. New and established business owners can use a cash flow projection to anticipate working capital needs and plan for upcoming expenses. 

Do you need help with your cash flow statement? Connect with a SCORE mentor online or in your community for free, personalized advice.

SHARE THIS ARTICLE
Black man working on computer with tired expression
7 Ways to Survive a Cash Flow Crunch
A common challenge for small business owners is keeping their cash flow on an even keel. These 7 ideas can help you navigate a temporary cash shortfall.
Woman sitting at table with laptop reviewing finances as she talks on her cellphone
3-Year Cash Flow Statement
Use this 3-year cash flow statement template to create long-term cash flow projections and test different business scenarios.
CONNECT
1165 Herndon Parkway, Suite 100
}
Herndon, VA 20170
1-800-634-0245

Copyright © 2023 SCORE Association, SCORE.org

Funded, in part, through a Cooperative Agreement with the U.S. Small Business Administration. All opinions, and/or recommendations expressed herein are those of the author(s) and do not necessarily reflect the views of the SBA.

Chat generously provided by:LiveChat

In partnership with
Jump back to top