Financial forecasting gives business owners and managers an overall view of anticipated future income and a firm ground upon which to build goals and make activity adjustments to help meet projected company sales. All businesses whether new, family owned, or long-standing corporation, have almost identical concerns such as the following:
a) Are there enough employees to ensure smooth production activity?
b) Does inventory need to be decreased or increased?
c) Are financial needs going to met in an efficient and timely manner?
d) Is there room for expansion of the business?