# Forecast cash flow and review working capital

A cash flow forecast, runway, and working-capital levers.

- Topic: Finance & Accounting
- Framework: RCTFVV
- Level: Advanced
- Tags: Finance, Analyze, Plan, Fill-in Template
- Source: https://www.thinkwithprompt.com/prompts/forecast-cash-flow-and-review-working-capital

## Prompt

```text
Role: Act as a finance business partner producing a 13-week cash flow forecast and working-capital review.

Context: Opening cash and facilities: [OPENING_CASH]. Receivables ageing and collection pattern: [AR_DATA]. Payables terms and payment run schedule: [AP_DATA]. Inventory position if relevant: [INVENTORY]. Known large in/outflows and their timing: [KNOWN_FLOWS]. Revenue / billing schedule: [BILLING]. Covenants or minimum-cash requirements: [COVENANTS].

Goal: Give the business a reliable view of the cash position over 13 weeks, the tightest points, and the actions that most improve it.

Task: Produce: (1) a 13-week cash forecast (opening, receipts, payments, closing) with the assumptions per major line; (2) the weeks where cash falls below the comfort / covenant level and by how much; (3) a working-capital diagnosis - DSO, DPO, DIO vs target and the cash tied up in each; (4) prioritised levers (collections focus, terms, payment timing, inventory) with the estimated cash release and any commercial trade-off; (5) what to monitor weekly.

Constraints: Do not assume collections faster than the stated pattern without flagging it as a target. Payment timing changes must respect supplier terms - flag any that do not. Keep every figure traceable to the inputs. Note covenant implications explicitly.

Examples: Lever row: 'Tighten collections on top-10 overdue accounts -> ~[value] within 3 weeks; trade-off: relationship risk on [account].' Tight-week flag: 'Week 6 closing cash [value] vs covenant minimum [value] -> shortfall [value].'

Format: Sections: 13-week forecast (table) | Tight weeks | Working-capital diagnosis | Levers (table) | Weekly monitoring list. ~650 words.

Verification: Recompute closing cash week to week and the DSO/DPO/DIO figures; show the method. Flag assumptions that differ from the stated patterns.

Validation: Pressure-test as a treasurer: if receipts run one week late across the board, does the business still clear its covenant? State the residual risk and the earliest warning sign.
```

## What to fill in

- OPENING_CASH
- AR_DATA
- AP_DATA
- INVENTORY
- KNOWN_FLOWS
- BILLING
- COVENANTS
- value
- account

Free to copy and use. From ThinkWithPrompt (https://www.thinkwithprompt.com/), a library of 2,663 curated AI prompts.