Long Business Systems, Inc. (LBSi)
Management Software Solutions
We help businesses manage for success
Cleveland – Columbus – Cincinnati - Pittsburgh
Cash Flow Reporting
Agenda:

Why is it important?

Authorizations & setup

Elements of Cash Flow Report

Recurring Postings & Cash Flow Report

Cash Flow Reports
Why Cash Flow Planning?

Simple Goal: have enough cash on hand when needed

How?

Implement good cash flow techniques to ensure you can always meet
your obligations

Start by using the SAP Business One Cash Flow reporting tool
 Keep
 Add

it simple to start with
more functionality as you go
Know your current financial ratios and how they impact cash flow
 Define
where they are now and monitor
Know your liquidity ratios

Cash Flow planning is linked to Liquidity

Liquid assets, i.e. cash are needed for day to day operations

Liquidity ratios measure company’s ability to meet its obligations

Quick Ratio: $$ of liquid assets available to cover $$ of current assets
Quick Ratio = Cash + Accounts Receivable
Total Current Assets

Current Ratio: Measures ability to meet short term debts
Current Ratio = Total Current Assets
Total Current Liabilities
Authorizations: Set-up
 Review
user authorizations
Go to: Administration > Initial Settings > Authorizations> General Authorizations
Authorizations: Reporting
 Review
user authorizations
Go to: Administration > Initial Settings > Authorizations> General Authorizations
Set-up: General Settings
 Define
settings for assigning cash flow items to transactions
Go to: Administration > System Initialization > General Settings
Elements of Cash Flow Report
Cash Flow Relevant Accounts

Only “active” accounts at the asset level can be Cash Flow Relevant

Use “Category” to classify G/L accounts
Set-up: Cash Flow Line Items

Define cash flow line items assigned to transactions

classifications for Statement of Cash Flow Report
Go to: Administration> Setup > Financials > Cash Flow Line Items .
Recurring Postings & Cash Flow
 Create

recurring postings to capture budgeted expenses
payroll, rents, lease payments
Assigning Cash Flow

Assign cash flow items in Payment Means, Deposit
or Payment Wizard windows.
Cash Flow Reference Report

Use this report to review cash flow transactions

Drill down and modify and/or assign transactions as needed
Go to: Financials > Financial Reports > Financial > Cash Flow Reference Report
Statement of Cash Flow Report

Review classifications, compare & adjust cash flow items
Cash Flow Report

View cash relevant transactions by Security Level and Due Date

Include Recurring Postings or Journal Vouchers

Add any projected future cash transactions, i.e. asset purchases, etc..

The smaller the Date selection, the more relevant the data
Cash Flow Report

Reports by “Security Level”

Shows running projected cash flow balance
Thank you for taking time to participate in the SAP
Business One User Group Meeting.
Please take a few minutes to respond to our survey
and provide us with feedback and suggestions going
forward.
o
We are always looking for new clients to work with. And we would like
to find more clients and partners like you – companies that are
engaged, smart, and focused on their future.
o
Can you help us out by referring LBSi to someone who could benefit
from our services?
Next Meetings:
o
Tuesday, Mar. 13, 2012
o What’s
o
New
Tuesday, Apr. 10, 2012
o TBA
– Give us your ideas
Long Business Systems, Inc. (LBSi)
Cleveland – Columbus – Cincinnati –Pittsburgh
Contact Information:
Vicki Smith
Senior Consultant
email: vicki@lbsi.com
Phone: 440-846-8500 ext 22
www.lbsi.com