Forecast is an automated and guided cash flow prediction tool that allows you to accurately see where cash levels will be in the future. Forecast combines Lead information, your sales reps' historical estimated close date accuracy, cost of goods sold, historical payment information and monthly expenses. Forecast also allows for what if analysis of product pricing and monthly burn rate increases or decreases. Watch the short video below to learn more about Insights and trends.
In order to properly leverage Azurepath's Forecast tool, you need to be sure to do three things. First, enter your business' monthly expenses (click the value below "Monthly Expenses to edit). You can choose to enter a single monthly expense sum that Azurepath will spread evenly over the course of each month or choose the monthly expense calculator to add more expense detail on the specific day of the month that payroll, rent, credit card bills, etc. are due. Second, enter your business' starting cash balance (click the value below "Actual" to edit). This value should be updated periodically to ensure accuracy. Third, use the sliders to select your forecast range, lead stages to include, and confidence levels (learn more about leveraging Azurepath's confidence insights in the following support section).
Azurepath automatically creates forecast insights denoted by the circled "i" buttons located to the right of the forecast sliders. Click on these insights to gain historical guidance on where to place your forecast sliders. For example, after just a couple weeks of use, Azurepath will begin telling you what percent of each lead stage ends up marked as closed won. The estimated close date insight will tell you on average, how early or late your sales team projects close dates. By aligning the slider with the insight value (complimented by arrow markers above the slider line) you're insuring yourself a highly accurate forecast based on reality instead of gut feel. Note that you can either treat all lead stages with a single confidence value or use the split out icon to adjust each lead confidence value independently.
The reconcile button is located to the right of the "Cash today" header. Use reconcile to review your list of invoices and to insure that you are not double counting projected revenue. If you're diligent about updating payment information at the lead level, you shouldn't need to access reconcile. On a related note, you can batch update payments using Azurepath's Import tool.