When creating a new forecast, you will have three options; 1 year P&L, 3 year cash flow and 3 year cash flow with due invoices.
Whichever option you select, there will be four further options for how you'd like that forecast to be created.
As well as creating from scratch, creating with last year's actuals and referencing an existing Futrli forecast, there is also the option to create the forecast with Futrli's auto-predictions.
Futrli's 'Predicted' rows are the product of our prediction and accounting algorithms, and represent your future business if trends continue as they are.
Futrli pulls through historical values from your accounting data every day. Using calculations from these values Futrli then creates an accurate future view of your business.
📌TIP: You can also create predictions manually.
Where can I find an auto-prediction?
Where can I find an auto-prediction?
Auto-predictions will only be found when a forecast is created using the auto-predictions method.
If you select one of the other methods to create a new forecast, auto-predictions will not be available.
Every account in the chart of accounts will have a prediction created.
To see how that number was found, toggle the Predictions explanation to the top-right of the forecast.
You will see a coloured bar next to each prediction. This will indicate how confident Futrli is that the predicted number will be accurate.
There will be some accounts with consistent historical data - those accounts will be likely to have a green prediction - ie you can be confident with the prediction.
There will however be other accounts where the historical data is not quite as consistent. For those accounts, you may see an orange line, or even a red, indicating the predicted numbers might be worth double checking.
Futrli isn't AI - the heavy lifting can be done for you, but you know the business better than any algorithm ever could!
How are automated predictions created?
How are automated predictions created?
Futrli analyses transactions for each account line separately, as well as the type of account that it is. Seasonality, repeating patterns, and trends are identified.
This is what you see in the Accruals view, for example, when sales (from invoice e.g.) are predicted to happen.
All historical payments for each account line are also aggregated to give you live average payment days. This is the Cash Impact view of Futrli's Predicted lines, when the predicted activity (the invoice e.g.) will be paid.
For every account, this live aggregated view incorporates:
How many days it takes every invoice to get paid for every customer
When journals get “paid''
When “spend/receive” money is “paid”
How is VAT/GST/sales tax calculated?
How is VAT/GST/sales tax calculated?
Futrli calculates the VAT/GST/sales tax of transactions accurately by assessing every transaction that has happened in the past. It then creates an account-level VAT/GST/sales tax rate that will flex and move as more transactions come in from your day-to-day trading.
This ensures that your predicted VAT/GST/sales tax payments are as accurate as they can be. Every one of these things is factored into the future predictions that are recalculated every time your data syncs (once per day).
Is this AI?
Is this AI?
Futrli's Predicted rows are not created using AI.. They are built using our own prediction software’s algorithms.
Effectively they are designed to use similar logic that an FD, CFO, or management accountant would use if they were preparing a detailed forecast for you using their years of experience. This is something that would take hours to prepare and hours to keep up to date.
Nothing can calculate the volume of automated and accurate calculations that Futrli performs.