The cash-flow forecast that saves your application
Profit is an opinion; cash is a fact. A lender wants to see that you won't run out of money before the business finds its feet.
Plenty of profitable-on-paper businesses fail because they run out of cash mid-ramp. A monthly cash-flow forecast is how you prove you've thought about the gap between spending and earning.
What it shows
Month by month: cash in, cash out, and the running balance. The lender is watching for the low point — how negative you go before you turn cash-positive, and whether your loan plus contribution covers that trough with room to spare.
The working-capital cushion
Build in enough working capital to survive the slow early months. Underestimating this is one of the most common — and most avoidable — reasons a young business stumbles.
Keep it honest
A forecast that never dips looks fictional. Show the realistic dip and show that you've funded it. That's more reassuring, not less.
See where your plan stands
Paste the plan you have into the free Scanner. It scores you against the eight criteria Canadian lenders use — in about thirty seconds, no account, nothing leaves your device.
Score my plan — freeLenderReady is an educational service, not a lender, broker, or financial advisor. Lending criteria vary by institution and change over time; treat this as a starting point, not a guarantee.