After reviewing your Cash Flow Health, the next section provides a deeper look into your business’s cash position, helping you understand key financial indicators.
Key Metrics Explained
📅 Days Cash on Hand
What it means: This tells you how many days your business can continue operating with its current cash balance, assuming no new income.
A higher number means your business has strong reserves to cover expenses.
A lower number suggests you may need to secure more cash inflows.
Example: If your Days Cash on Hand is 95 days with a +14% in green, it means your cash reserves have improved by 14% from last month and your business can continue running for about 3 months even if no new money comes in.
🏦 Cash in Bank (Combined)
What it means: This is the total amount of cash available in all your business accounts today.
Example: If your Cash in Bank is $221,091 with 0% change, it means your bank balance has remained stable over the last 30 days.
✅ Green % means your cash balance increased.
❌ Red % means your cash balance decreased.
🔥 Burn Rate
What it means: Burn rate is how much money your business is spending every month.
A lower burn rate means you're managing expenses well.
A high burn rate means your business is spending money quickly, which may require you to cut costs or increase revenue.
Example: If your Burn Rate is $11,842 with a -40% in red, it means your expenses have decreased by 40% compared to last month, which is a good sign for financial stability.
📈 Projected Money In (Next 30 Days)
What it means: This is an estimate of how much cash your business is expected to receive in the next 30 days. It includes payments from customers, invoices due, and other income sources.
Example: If your Projected Money In is $10,721 with -76% in red, it means you expect 76% less income compared to last month. This could be due to fewer sales or you haven't raised all invoices.
✅ Green % means your business is bringing in more money than last month.
❌ Red % means your income is lower than last month, and you may need to focus on increasing revenue and raising all invoices.
📉 Projected Money Out (Next 30 Days)
What it means: This is an estimate of how much money your business will spend over the next 30 days. It includes all projected bills you have added in the accounting system. It does not include payroll or expenses not added in the system.
Example: If your Projected Money Out is $5,720 with -25% in red, it means your expenses have decreased by 25% compared to last month.
📌 Overdue Invoices
What it means: This shows the total amount of unpaid invoices that your customers owe you.
Example: If your Overdue Invoices total $628,240 with +6723% in green, it means overdue invoices have increased significantly from last month. While an increase in overdue invoices is not ideal, the green percentage simply shows the change in value.
✅ Green % means the amount has increased compared to last month.
❌ Red % means overdue invoices have decreased, meaning you are collecting payments faster.
Why This Matters
✅ Green percentages indicate improvement, meaning your business is doing better than the previous 30 days.
❌ Red percentages indicate decline, meaning your business may need adjustments to improve cash flow.
By tracking these cash flow trends, you can make better decisions, such as when to reduce expenses, increase sales, or follow up on invoices.
Finoya keeps your financial data updated weekly, so you always have a clear and accurate view of your cash flow. The top bar shows the last sync date and the next scheduled update, ensuring you're working with the latest insights to manage your business finances effectively.