Forecasting: The strategic advantage

Nov 29, 2024 | Fintech Friday

In business, forecasting is essential. Yet, it often gets pushed to the bottom of the priority list amid the demands of day-to-day operations.

Having access to accurate data – and the ability to manipulate it to explore scenarios of scalability and growth – offers more than just a peek into the future. It provides business owners with the tools to plan strategically, adapt to changes, and position themselves to thrive.

In this month’s Fintech Friday, we look at 4 key reasons to consider forecasting.

  1. Understand the impact on your bottom line

Forecasting allows you to simulate the financial effects of any decision or change to legislation, including the recent Budget updates like increases to the National Minimum Wage. With market leading tools like Futrli, you can identify which areas of your business will feel the greatest strain and take steps to manage costs.

  1. Scenario planning for smarter decisions

Forecasting empowers you to run “what-if” scenarios, allowing you to evaluate different strategies for navigating changes in your business environment. Whether it’s responding to rising costs, shifting market demands, or scaling your operations, forecasting can uncover opportunities to improve efficiency, adjust pricing, or reallocate resources effectively.

  1. Stay agile and proactive

The best time to prepare for the future is now. Forecasting helps you maintain agility by enabling you to anticipate potential challenges, opportunities and risks. Rather than reacting to issues as they arise, you’ll be equipped to respond confidently, adapt to changing circumstances, and stay ahead in a competitive landscape.

  1. Drive growth amid change

Forecasting isn’t just about mitigating risks – it’s about sustaining growth. By aligning your business goals with updated projections, you can ensure that your operations remain focused on long-term success.

Forecasting tools

For business owners, tools like Futrli make financial forecasting accessible, actionable, and incredibly powerful. Here are just some of the reasons we work with businesses using insights from Futrli to help drive strategy:

  • Integration with Xero and other accounting platforms ensures that your forecasts are built on real-time, accurate data.
  • User-friendly scenario modelling helps you visualise the potential impacts of changes like increased NICs or wage hikes.
  • Customisable dashboards allow you to track cash flow, profitability, and other key metrics in one place. Futrli allows you to drill down into really tailored reporting so that you can create a view of exactly what you and your leadership team want to see.

Whether you’re managing payroll adjustments, projecting cash flow, or identifying cost-saving opportunities, data-led forecasting can drive informed decision making.

How can we help?

April 2025 might feel far away, but the Budget’s impact on your business will arrive sooner than you think. Forecasting now will give you a strategic edge, helping you prepare for regulatory changes, protect your bottom line, and seize opportunities for growth.

Want to learn more about how forecasting can help your business? Contact us to discuss how Futrli and other tools can simplify your planning process and set you up for success. Email fintech@haroldsharp.co.uk or call 0161 905 1616.