F E A T U R E
F E A T U R E
A2024 survey by Agicap revealed that 37 % of UK CFOs operate with unreliable cash flow forecasts, and 63 % lack short-term forecasts. This inaccuracy costs mid-sized UK businesses an average of £ 660,000 annually, including £ 47,000 in overdraft fees – 91 % more than companies with reliable forecasts.
As businesses have increased demand for boosting efficiency with AI-driven solutions, treasurers and finance professionals are also looking for treasury management solutions equipped with AI to elevate their performance. A study by Sidetrade and PwC France and Maghreb found that over 80 % of companies are investing in AI to enhance cash flow processes, despite budget cuts. Additionally, 87 % are actively engaged in finance transformation projects, with 98 % focusing on optimising Order-to-Cash processes. AI provides exceptional power for data processing and the technology could enable treasury and finance teams to achieve more accurate, real-time financial insights for proactive risk management.
Accurate cash flow forecasting has always depended on data quality and analytical rigor, but traditional methods struggle with volatility and rapid market shifts. AI transforms this process by automatically detecting and correcting anomalies, accounting for seasonal patterns to minimise forecasting errors. With realtime data synchronisation in one single platform, eliminating data siloes and outdated projections, AI-powered cash flow forecasting supports businesses to move beyond reactive planning and adopt a proactive financial strategy. www. intelligentfin. tech
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