THE ROLE OF CASH FLOW FORECASTING IN FINANCIAL STABILITY OF TECH PROJECTS
DOI:
https://doi.org/10.29121/ijetmr.v12.i5.2025.1709Keywords:
Cash Flow Forecasting, Tech Projects, Financial Stability, Expense Control, Project Management, Working CapitalAbstract
The research is about the role of cash flow forecasting in keeping project-based tech firms financially stable and it is based on the experience I gained during my internship at FirstUS IT. Cash flow forecasting is crucial for keeping account of the project cash flows right and for avoiding cash shortages. The reason is that tech projects often entail unpredictable payments, changes in requirements, and costs that fluctuate with project phases. Therefore, it is necessary to forecast the cash flows correctly for the purpose of cash flow management, avoiding shortage and keeping the project going nice and smooth.
I saw firsthand during my internship how factors such as the delay in client billing, sudden software or resource costs, and poor coordination between teams can turn a company’s financial situation upside down. The research emphasizes that regular updates to even the most basic forecasting tools can equip the management with a better view of the coming obligations and hence more responsible expense planning. Additionally, it states that monitoring of recurring costs, tracking of late payments, and timely review of project updates can contribute to overall financial health to a great extent.
The results further imply that steady financial planning plus timely communication and basic cost awareness are the main characteristics of project-to-project working tech companies. Moreover, companies can handle uncertainty to a lesser extent, and the result is that their operations will be more fluid if they have better forecasting and discipline in expenses.
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References
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Copyright (c) 2025 Mallu Lokeshwar Karthikeya Reddy, Dr. Bhojraj Shewale, Dr. Bhawna Sharma
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