To make sure your cashflow forecast is as accurate as possible, you'll want to make sure that the money owed to your trade creditors is as accurate as possible.
Your trade creditors account is calculated based on default payment dates (dictated by the payment terms you have chosen), which may be exactly what you need. However if you know that the planned invoice dates differ from what you have set as the default payment terms, then you will need to add money due.
This can be done manually or imported via an Excel template.
To do this:
- Open your balance sheet forecast in the 'Forecast' tab
- Expand your liabilities category
- Click on 'Trade Creditors'
- Click on 'Opening Balance' on the next page
- Select 'Invoice Planned Dates' as the calculation method - this stops the default payment terms determining how the money due affects the forecast
- This opens the below:
There are two options for adding money owed. You can see the two green buttons above: 'add money due' and 'import money due'.
To add money owed manually, click on the 'Add Money Due' button.
Type in the creditor name, reference number, select payment due date, enter the amount, and select the planned date for when you can make the payment.
Do this as many times as required to input all money owed.
To do this via the Excel import, then as before, click on Trade Creditors in your balance sheet.
Click on 'Opening Balance'.
For calculation method, change from 'default invoice dates' to 'invoice planned dates'.
Click the green 'Import Money Due' button.
The system will then ask you how you want to import your money due.
In this case, we are going to use Excel.
Next, you need to click 'Download Template'. Once you do this, it will download automatically onto your machine.
Open the file and input your data and save as a memorable name.
Go back into GearShift and click the green 'Next' button.
Click the green 'Browse' button and upload your file and click 'Import'.
You will then have the opportunity to review the data you have input. Make sure that all the data adds up as you expect and once satisfied, click 'Finish'.