Cash flow

Hi Everyone

Can somebody tell me how to findout cash in flow and cash out flow from a Cost and Resoures loaded programme using P3..........





Regards

Althaf Mohamed

I agree that Cash In-Flow is the invoice claim from client deducted by the retention amount and this can be determined even during planning stage as long as you know the percentage of retention. Normally retention payment is in the contract.



The Cash Out-Flow is not only an invoice claim by Sub-contractors but it also includes expences on salaries and wages, office operating cost, equipment operating cost, materials cost and other outgoing payments intended for a specified project. Materials cost is the most troublesome to determine. Few reasons I have encountered such as;



Order of Steel or other materials- the company is given a 15 day or 30 days credit line. Sometimes supplier may ask for advanced or downpayment.



Sub-contract works - some 3rd party sub-contractors may request an advanced or downpayment prior to execution of the sub-contract work.



Change of quotation price due to inflation and after the validity of the quotation.



These 3 items above sometimes does not exist during tender stage and you will only know during implementation of the project. These are some of the items that is not easy to predict during planning stage.

I’m agreed with the answer of Mr.Sohail jafari about the cash flow-in & cash flow -out..

In Cash flow -in we consider deduction of Retention Amount

if it’s involve in contract agreement.

I’m agreed with the answer of Mr.Sohail jafari about the cash flow-in & cash flow -out..

In Cash flow -in we consider deduction of Retention Amount

if it’s involve in contract agreement.

If you are still interested, I have written a book on the subject, which is available from Amazon.com



Its called "Financing Construction, Cash flows and cash farming" by Russell Kenley - Spon Press.

Cash Flow - Managing your money to carry out construction activities(for example) without interrupting your work in order to complete your project smoothly.



in order to do this, based on your valuation break-down as agreed between you(contractor) and client, load these values into a resource which is assigned to all activities in the construction schedule. Then you can run a report to see, on completion of activities(in summary) as per everymonth, what is the amount you can claim from your client. Prepare a S-Curve, it would be used as a basis to report progress of work-done to the client in monthly report.

Dear Munawar,

Please see financial plan methods in the business plan.



Regards

Hi Fiend,

Usualy for showing the outcome and income of project, we use cashflow.

cashflow usualy have 2 parameter:

cash-in flow : for all income to peoject ( like: the amount of invoices form client)

cash-out flow : for all costs of peoject ( like: the amount of invoices form suncontractors)