One of the most challenging responsibilities for a CFO, controller, or senior financial analyst is to gaze into the future and formulate forecasts for the business. It serves as one of their critical functions, as any significant decision at a higher level necessitates a certain level of anticipation regarding future events. While it’s possible to perform financial modeling using Excel manually, the outcomes may need to be more precise and timelier. This is why many businesses allocate significant resources to adopt advanced financial projection software. In this blog post, we will explore the best financial projection software for businesses to consider in 2024.
What is Financial Projection Software?
Financial projection software is a valuable tool for generating and evaluating diverse scenarios and strategies within your business. This tool aids in the meticulous planning of cash flow, revenue, expenses, and profitability. It facilitates testing the potential impact stemming from various assumptions and variables. Further, financial projection software plays a crucial role in strategic planning, budget management, and overall financial decision-making for businesses of all sizes.
Why do Businesses Use Financial Projection Software?
Businesses use financial projection software to plan and allocate resources for upcoming activities and initiatives strategically. It helps businesses in projecting their forthcoming income and costs. Effective software can benefit every division within a company. To illustrate, a manager or senior executive could employ financial projection software to streamline departmental budgeting and enhance financial forecasting. These tools empower accountants to facilitate budget consolidation across various departments and prepare income and cash flow statements for the upcoming year.
Top Financial Projection Software
Financial projection software is essential for even the simplest business models to enable estimation and preparation for the future. The consequences of running out of cash can be disastrous for any business. Thus, the importance of advanced and precise financial projection software must be balanced for every organization. Here, we explore the top financial projection software:
- Workday Adaptive Planning
- SAP Analytics Cloud
LiveFlow is a versatile financial reporting and forecasting solution integrated with spreadsheet applications such as Google sheets and MS Excel. Its user-friendly interface empowers you to transform your current spreadsheets into dynamic analysis (FP&A) tools. Stable financial planning features encompass customizable dashboards that effortlessly synchronize with real-time data, collaboration, and communication capabilities directly within the sheets. The automated budget versus actual functionality ensures the retrieval of the latest data, providing a hassle-free experience. Additionally, LiveFlow offers access to an extensive template library. Enjoy smooth integration with popular platforms like Google Sheets, QuickBooks, Microsoft Excel, and Xero.
Starting From $250/month.
- Excellent cash flow prediction capabilities.
- Robust automation functionalities.
- A flexible platform offering numerous ready-made templates.
Workday Adaptive Planning
Workday Adaptive Planning is an enterprise performance management (EPM) software with various features. Ideal for mid-market and larger companies, it fosters collaboration across departments. The advanced scenario planning and analysis tools were the key factors in my choice of Workday. This platform proves invaluable for conducting what-if scenarios, enabling users to forecast financial and operational outcomes under demand conditions and different production. Noteworthy features include its work-anywhere deployment, catering to geographically and remotely diverse teams, and its incorporation of data and predictive analysis capabilities, and AI-driven financial planning.
Available upon request.
- Incorporates robust reporting features.
- Enables workflows accessible across platforms and locations.
- It boasts impressive capabilities for visualizing data.
- It takes work for beginners to pick up quickly.
- Comes with a High Cost.
SAP Analytics Cloud
SAP Analytics Cloud is an integral component of the SAP suite and delivers cost-effective business intelligence (BI) solutions. While more advanced planning features are exclusive to higher-tier plans, notable attributes encompass extended scenario planning, self-service data modeling, and predictive forecasting. The synergy of these features improves teams’ ability to comprehend and anticipate shifts in demand and evolving customer preferences. With its budget-friendly pricing, SAP Analytics Cloud is an accessible entry point into forecasting software for smaller teams. The software offers integrations with various tools, like SQL, SAP suite tools, and Google BigQuery.
Starting From $36/month.
- A complimentary trial accompanies economical pricing.
- Tailor your package with module-based pricing through the SAP suite.
- Access robust business intelligence tools at an affordable rate.
- Challenging learning curve.
- The basic package has minimal forecasting features and planning.
LivePlan is a distinctive software tailored for emerging businesses. Its core function revolves around aiding users in crafting detailed business plans, incorporating financial forecasts and project revenue. The software further facilitates the tracking of real-time business performance compared to the initially projected figures. Notably, the templates adhere to the Small Business Association-approved format, simplifying the pursuit of business funding. It also enables the projection and forecasting of financial performance under various scenarios, accommodating even brand-new businesses without historical sales data. Additionally, it empowers business owners to monitor actual performance against both projected amounts and budgeted.
Starting From $20/month.
- Simplify business plan creation with over 500 templates.
- Incorporate pre-revenue forecasting capabilities.
- Utilize tools for predicting profits and cash flow.
- Restricted capabilities for well-established enterprises.
- They constrained integration options.
Cube is an analysis (FP&A) software and financial planning that seamlessly integrates with popular spreadsheet solutions like Google Sheets and Microsoft Excel. Noteworthy functionalities include efficient operating headcount planning and expense planning features. The simplicity of Cube’s spreadsheet-native design stands out, making it user-friendly and requiring minimal training for onboarding. Serving as a centralized hub for comprehensive business data, Cube integrates seamlessly with various tools, ensuring a unified source of information. Additionally, Cube boasts an impressive report builder that streamlines the budgeting process. Furthermore, Cube offers integrations with various platforms, like NetSuite, HubSpot, Sage, Salesforce, and QuickBooks, to make it a versatile and comprehensive financial planning solution.
Starting From $1,250/month.
- Extremely intuitive.
- Advanced Financial Planning and Analysis (FP&A) features.
- Seamless integrations with HRIS, ERP, CRM, BI platforms, and accounting.
Multicurrency support is only available in the higher-tier plans.
As businesses navigate the complexities of financial planning in 2024, choosing the right financial projection software becomes paramount. Each software highlighted, from LiveFlow’s versatility to Workday Adaptive Planning’s enterprise-focused features, SAP Analytics Cloud’s cost-effective BI solutions, LivePlan’s tailored support for emerging businesses, to Cube’s seamless integration capabilities, presents a unique set of advantages. Organizations should carefully evaluate their specific needs, considering factors such as scalability, user-friendliness, and integration requirements, to make an informed decision that aligns with their strategic goals for the future.