Profit vs Cash Flow: Choose the Right Planning Record

Separate a direct schedule of cash receipts and payments from an accrual profit forecast and a linked three-way financial model.

Direct cash planning

A dated cash schedule starts with an opening balance and adds receipts minus payments. It can show a collection delay without claiming to recognize revenue under accounting rules. Our 13-week planner follows this direct schedule and does not calculate a P&L or balance sheet.

Integrated planning

Fathom describes linked profit-and-loss, balance-sheet and cash-flow forecasts; Spotlight also provides financial forecasting views. Those models need opening statements, mappings and working-capital assumptions. Do not compare a direct cash total with accrual profit as though they were the same measure. Fathom integrated reporting and three-way forecasts · Spotlight reporting and forecasting

Use the existing record that fits

Our business financial templates include editable financial records and projection workbooks. The bookkeeping software catalogue addresses the accounting ledger. The local cash planner is a separate timing exercise; its files are not an automatic bank or accounting-system import.

Reconcile the bridge

If a profit forecast is positive but cash falls, inspect receivables, payables, inventory, debt principal, capital purchases and owner funding in the source model. The cash planner includes such movements only as explicitly entered events, with no automatic tax or financing calculation.