Scenario Planning for Small Business Survival in 2025 | Cash Flow Forecasting Walkthrough

Download the free Cash Flow Forecast Worksheet: https://learn.claracfo.com/cash-flow-forecast How to Create a Cash Flow Forecast: https://youtu.be/0BGanYasxn8 How to Create a Business Budget: https://youtu.be/jK4D1JeT6iE Uncertain about what’s next for your business in 2025? You’re not alone. With increasing costs, declining demand, and potential tariffs on the horizon, it’s more important than ever to plan ahead. In this video, Hannah walks you through a real-life example of how to use scenario planning with a cash flow forecasting spreadsheet to prepare your business for various financial outcomes—good, bad, and everything in between. 💡 Whether you're facing a potential loss of clients or unsure how to navigate a volatile market, this step-by-step guide will help you forecast monthly cash flow, adjust expenses, evaluate your staffing needs, and create a plan that gives you peace of mind. In this video you will find: 0:00 - Intro 0:50 - What Is Scenario Planning & Who Is This For? 3:17 - What is the Cash Flow Forecasting Worksheet? 4:05 - The Importance of Monthly vs. Annual Planning 5:07 - Walkthrough of Cash Flow Forecasting Worksheet 6:45 - First Scenario: Losing a Major Client 8:22 - Cutting Costs After Revenue Drops 9:34 - Adding a Small New Client to Offset Losses 11:01 - Second Scenario: Another Client Cuts Retainer 12:26 - Reducing Payroll Costs 13:26 - Employee Goes Part-Time to Save on Admin Costs 14:25 - Worst-Case Scenario: 20% Revenue Drop 15:11 - Enforcing Austerity Measures 16:59 - More Team Adjustments: Part-Time Schedules 18:08 - Cutting Owner’s Draw & Infusing Capital 19:45 - Evaluating Your Risk Tolerance as a Business Owner 21:16 - Tools for Scenario Planning (Excel & Jirav) To learn more about CFO services for B2B services providers making over $1M in annual revenue, go to: https://claracfo.com/services Here are some of the tools I trust and recommend to help you manage your business finances more effectively. These are affiliate links, which means I may earn a small commission if you use them—at no extra cost to you. Thank you for supporting the Clara CFO channel! 🔢 QuickBooks Online – 30% Off for 12 Months plus 30-day Free Trial https://claracfo.com/QBO Get organized with the most popular small business accounting software. 🏦 Relay Bank – Get a $100 Bonus https://www.claracfo.com/relay Modern banking designed for business owners. Sign up and deposit $100 to claim your bonus. 👥 Gusto Payroll – Earn $100 https://claracfo.com/gusto Run payroll and receive a $100 reward—perfect for growing teams. 💰 Monarch Money – Extended 30-Day Free Trial https://claracfo.com/monarch Smart personal finance software for entrepreneurs and families. 📊 RC Reports – Get $50 Off a Compensation Report https://claracfo.com/RCReports Ensure your S-Corp salary is IRS-compliant with a professional comp report. Hannah Smolinski is a #CPA and the Founder of Clara CFO Group. Find out more about Clara CFO Group at https://claracfo.com/ Disclaimer: This video is intended for educational purposes and should not be taken as legal or tax advice. You should consult with your financial professionals about your unique financial situation before acting on anything discussed in these videos. Clara CFO Group, LLC is providing educational content to help small business owners become more aware of certain issues and topics, but we cannot give blanket advice to a broad audience.