Functionality and Benefits of the Cash Flow Statement
The cash flow statement reflects the company's real financial flows and is divided into three key blocks:
- Operating activities – receipts and expenses related to core business processes.
- Investing activities – purchase and sale of assets, investments in long-term projects.
- Financing activities – transactions with banks and investors, raising and repaying borrowed funds.
In most cases, only a bank statement is required to prepare the report.
Economic Impact of Implementing Cash Flow
“Reports such as Cash Flow relate to management accounting. They complement accounting and provide the entrepreneur with valuable information for decision-making. In our experience, the implementation of a Cash Flow report allows a business to reduce operating expenses by 15-25% and ensure profit growth by an average of 10-15%,” notes Ekaterina Martynenko, General Director of Modulbukhgalteria.
Stages of Working with the Report
Modulbank's new service includes:
- Introductory meeting – discussion of business goals and key financial indicators.
- Cash Flow statement preparation – preparation of a detailed document based on company data.
- Analytical note with recommendations – bank experts will analyze cash flows and suggest ways to optimize them.
- Final meeting – analysis of results and consultation on the implementation of proposed strategies.
The launch of the new service from Modulbank makes management accounting even more accessible to businesses, helping entrepreneurs make informed decisions, reduce costs and increase profitability. Now companies will be able to obtain a detailed picture of their financial condition without complex calculations and plan further development based on objective data.