Running a business without a forecast is like driving with your eyes closed – you might stay on the road for a while, but it’s only a matter of time before you hit something.
Most business owners don’t mean to fly blind. They’re just busy keeping things afloat. But a simple forecast can change everything—from your stress levels to your bottom line.
Here’s why now is the perfect time to build one – and how to get started without overcomplicating it.
What is a Forecast?
A forecast is simply a financial prediction of what’s ahead – usually for the next 3, 6, or 12 months. It maps out your expected income, expenses, and cash flow based on your current numbers and goals.
Think of it as your financial GPS:
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It tells you where you’re headed,
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helps you spot roadblocks early, and
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lets you course-correct before it’s too late.
Why Forecasting Matters (Especially Right Now)
✔️ It gives you clarity. No more “I think we’re doing okay” based on gut feel. A forecast shows you the real picture.
✔️ It helps you plan for tax, super, and BAS. Avoid the last-minute scramble (and the panic payments).
✔️ It helps with decision making. Want to hire someone? Buy new equipment? Increase your salary? A forecast helps you make decisions based on data – not vibes.
✔️ It highlights cash flow gaps before they happen. The faster you see the dip, the more time you have to fix it.
✔️ It builds confidence. Even when things aren’t going perfectly, knowing your numbers gives you back control.
Common Forecasting Mistakes
⚠️ Only looking at your Profit & Loss.
Remember – your P&L doesn’t include loan repayments, GST, tax bills or ATO payment plans. That’s why cash flow forecasting is essential.
⚠️ Setting and forgetting.
A forecast should be a living document. Review it regularly, update it when things change, and use it to guide decisions—not just once a year.
Where to Start
You don’t need anything fancy. Just start with:
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Your monthly income targets
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Your fixed expenses (rent, wages, subscriptions)
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Your ATO obligations (BAS, super, PAYG, tax)
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Any planned purchases or investments
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Your goal for savings or profit
You can use a spreadsheet, or tools like Fathom to make it visual and dynamic.
Want Help Setting It Up?
We help clients set up simple, practical forecasts they actually use. If you’re done guessing your numbers and ready to take control, get in touch – we’d love to help.
📞 Contact us to build a forecast that works for your business.
