Entering grant in your forecast
If you receive a grant that you don’t need to repay, such as a non-returnable or interest-free grant, it should be recorded as revenue in your financial forecast. Since grants are not loans or debts, they belong in the revenue stream rather than liabilities. This helps keep your finances accurate and ensures your forecast reflects all sources of income.
This guide will walk you through how to add a grant to your financial forecast effectively.
Steps:
- 1
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Open the finance forecast module in your account and navigate to the Revenue tab.
Click on the Add Revenue Stream button to create a new revenue entry. Since grants are a source of revenue that does not require repayment, they should be categorized accordingly in this section.
- 2
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Assign a suitable name such as Grant or specify the funding source.
Since grants typically have a predefined amount, select the Fixed Amount option. This ensures that the grant amount remains constant over the selected period.
- 3
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Enter the grant amount based on the total amount received.
Set the start date (when the grant will be applied) and the end date (if the grant is expected to end after a certain period).
- 4
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Once all the details have been entered, click the Save button to finalize the grant addition.
This will ensure that the grant is included in your financial forecast and reflected in revenue calculations.
Adding a grant to your financial forecast ensures that your revenue projections reflect all sources of funding accurately. By categorizing grants under revenue and setting a fixed amount, you can track their impact on your financial plan effectively.
Following these steps will help you manage grants effortlessly and ensure they are factored into your overall financial outlook.