Operational financial planning is like a logical continuation of the current financial planning. It is carried out in order to control the flow of actual revenue to the account and the expenditure of available financial resources of the enterprise. Financing of the planned activities are at the expense of the enterprise funds, and this requires effective control over the formation and use of financial resources. The operational plan is needed to ensure the financial success of the enterprise. It includes the preparation and execution of payment calendar, the cash plan and the calculation of the need for short-term loan.
In the process of compiling a calendar of payments following tasks are solved:
1. Organization of the calculation time coincidence of receipts and future expenses of the company;
2. Formation of information base of cash inflows and outflows;
3. Daily record of all changes in the information base;
4. Analysis of non-payments (the amounts and sources) and organization of measures to overcome them, and prevention;
5. Calculation of needs in the short-term loan in the event of a temporary mismatch of revenue and liabilities, as well as the rapid acquisition of loans;
6. Calculation of temporary free funds of the company, it is performed on sums and timing;
7. Analysis of the financial market from the perspective of the most reliable and profitable investment of temporarily surplus funds.
Payment calendar is made on the quarter, broken down into months, and for shorter periods. In its implementation you should monitor the production and implementation, status of stocks, receivables in order to prevent non-financial liabilities.
The main feature of properly drawn up payment is its balance. This calendar helps to identify financial errors, lack of funds, to understand the reason for such a situation, identify and implement appropriate interventions, and thus avoid financial difficulties.
Payment calendar is made on the basis of the following documents:
Plan of sales;
Estimation of the cost of production;
The plan of capital investments;
Statements of accounts of the company and its annexes;
Contracts;
Internal orders;
Schedule of payment of wages;
Invoices;
As well as deadlines for payment of financial obligations.
Many firms, with a payment calendar drew up the tax calendar, as well as payment calendars for certain types of cash flows.
In addition to payment calendar in the enterprise must be drawn up cash plan – a plan of circulation of cash. This plan reflects the receipt and payment of cash over the counter. It is necessary to monitor the receipt and disbursement of cash.
The Bank Service Company is also required cash plan to draw up a consolidated cash plan to service their clients in a timely manner. Cash plan is developed for the quarter.
The final stage of financial planning is to compile a summary in the analytical report. It describes the main indicators of the annual financial plan, and draws conclusions about the planned provision of enterprise with financial resources and the structure of its formation.
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