A lot has been written on the importance of cash flow planning in the HVAC industry, with good reason. Changes in the weather can often be enough to leave contractors scrambling to make payroll during off seasons. Add late-paying customers and unforeseen truck repairs, and a recipe for disaster can exist.
Long-term cash flow planning can often be difficult, simply because sales can be difficult to forecast in an often volatile industry. While long-term cash flow planning is a good idea, especially when new asset purchases will be required, I am going to leave that for you and your accountant to discuss. Basic accounting software packages sold at all the local business and office stores now perform cash forecasting functions that are helpful as well.