A new service for Startups:

Avoid the "Cash Flow Gap" by preparing your

DACAD Budget today

 

Very often Proximo comes across a startup company that goes through a scenario similar to this:

They raise money from investors, they put together a product, they start their marketing and sales processes...Things look promising because deals are starting to close, and orders/subscriptions are starting to flow in...

 

BUT: very often the expected cash flow is delayed for a later stage (after full delivery, after acceptance, month by month payment terms...)

Unfortunately the expenses are usually not delayed :-(

This causes many startups to reach severe crisis despite the fact that they are seeing very positive business progress.

 

 

 

 

The remedy:

Manage a DACAD Budget!

Proximo is offering to prepare for you an excel file which is a professional DACAD budget.

With this file you, the startup CEO, will be able to continue on your own, maintaining control of your cash flow Vs. P&L and dealing ahead of time with the cash flow challenges, avoiding crises.

 

 

 

 

What is a DACAD budget?

It's a file that complies with the following principals:

D - Details 100% of your expenses and income, present and future.

A - Actual Vs. Planned: it shows clearly per month what are the gaps between the planned budget and the actual one.

C - Cash: it reflects the timing of each transaction in terms of cash flow 

A - Annual: it is built to synchronize with the formal annual financial reports

D - Dependencies: It translates all the dependencies between events in your company to financial data that needs to be updated in accordance.

 

What's the "Cash Flow Gap"?

It's the scenario when a company experiences a shortage of cash despite the fact that there are deals coming in, but their expected income flow is in delay. As a result the company has difficulties meeting payment obligations to employees and/or suppliers.

 

Why should a startup prepare a DACAD budget?

...That's right, to AVOID the cash flow gap!

How? 

By taking measures that can bridge gaps, for example: by extending a loan or an investment, by adjusting payment terms, by prioritizing expenses.

 

But there are also a lot of other benefits such as:

- Improved Control

- Improved trust of shareholders

- Improved managerial efficiency