The cash flow statement, or statement of cash flows, is a financial document that provides an overview of the inflow and outflow of cash for a company over a given period. This statement provides information on where cash originated, as well as how it was used during the period.

Creating a cash flow statement in Excel is relatively simple. This post outlines the steps and tips needed to create a successful and reliable cash flow statement.

Benefits of Using Excel

Creating a Cash Flow Statement with Excel can be a great way to get your finances and financial picture in order. Excel provides users with a powerful data processing tool that can help to compile and organize financial data into helpful, organized reports. With Excel, users can easily compute and graphically represent their cash flow information.

Automatically Adds Calculations

Using Excel to create cash flow statements has its advantages. When creating a cash flow statement with Excel, the first step is to enter the data associated with the cash inflows and outflows of your organization. Then the program will automatically calculate the differences between the amounts for the given income and expenses period. This saves time and eliminates the need for manual calculations.

Gives Access to the Entire Microsoft Office Suite

In addition to the calculations, Excel is part of the Microsoft Office suite of programs. As such, it gives users access to other powerful tools such as MS Word, PowerPoint, and Outlook along with the ability to share documents and collaborate with others. As part of the Office Suite, users can also create graphs and other visuals to support their cash flow statements.

Added Features Like Pivot Tables and Graphing Tools

In addition to the Microsoft Office Suite, Excel also features additional powerful features such as pivot tables and graphing tools. Pivot tables are a great way to compile and analyze data in a user-friendly fashion, while graphing tools enable users to visualize their financial data in various ways. By combining these tools with the basic cash flow calculator, users can bring their cash flow statements to life.

Getting Started With Excel

Translating financial information into a simple, meaningful report can be difficult if done manually. Excel is a great tool to help simplify and streamline the process. With this powerful software, users can not only construct cash flow statements but easily modify past reports as well. Here are three quick steps to get you started.

Analyzing the Data That Needs to Be Entered

Before creating a cash flow statement, Excel requires certain data. It includes:

  • Cash receipts
  • Cash disbursements
  • Opening and closing bank balances
  • Information on depreciation
  • Net profit or net loss

Identifying the exact data to be included should always be the first step. Pay particular attention when entering the opening and closing bank balances, since any discrepancies can negatively affect the validity of the report.

Downloading a Cash Flow Statement Template

Rather than creating a cash flow statement from scratch, download an Excel template. There are several templates available online and through Microsoft itself, which have the right tools to get your cash flow report off the ground quickly.

When selecting a template, look for one that comes with customizable features. This will allow you to adjust the size and structure of the cash flow statement to fit your needs. Once you find a template that fits your style, use it to streamline the process of constructing a cash flow statement.

Making Appropriate Edits to the Template

At this point, you’ve got your data collected and a template downloaded. To take full advantage of its features, start editing the values. Customize the size of the columns and rows. Include headers, footers, and labels as necessary. Pay attention to the categories in the template, ensuring that they properly account for any cash receipts or disbursements during the period.

Also, remember to save a copy of the template before the editing process so you can go back to the original whenever needed. Once you are satisfied with your edits, you have all the tools to construct a complete cash flow statement.

Creating the Cash Flow Statement

A Cash Flow Statement is an important tool for tracking the financial health of a business, detailing cash flows over a certain period of time. It can be used to determine where additional cash may be needed, and each of its three components must be examined closely in order to make the most informed decisions. Excel is an ideal choice when it comes to creating a Cash Flow Statement, as its user-friendly interface and in-built formulas and spreadsheet functions allow you to quickly create a document highlighting the inflows and outflows of your business.

Entering Cash Flows from Operations

The first step to creating a Cash Flow Statement in Excel is to enter the cash flows from operations. To do this, you will need to first list each of your expenditures related to running the business, such as salaries, rent, utilities, and any other costs associated with keeping your operations running.

Once you have listed all of your expenses, you will need to add any income from your operations as well. This can include income from sales, services or any other business activities that are bringing in cash.

Calculating Your Cash Flows from Investing

The next component of a Cash Flow Statement is to calculate the cash flows from investing activities. This includes any cash spent on new investments, such as property, equipment, or other assets. It also includes any cash received from the sale of investments.

You will need to enter the cash flows for each of your purchases and sales into Excel, then take the difference of the two values to calculate the total cash flow from investing activities.

Determining Your Cash Flows from Financing

The final component of a Cash Flow Statement is to determine the cash flows from financing. This relates to any of the activities related to the business’s sources of financing, such as debt, equity or grants. It is important to be aware of any new sources of funds, and any repayments that have been made during the period.

To calculate the cash flows from financing activities, you will need to list all of the sources of financing that the business has used, and the amounts that have been paid in and out. You can then take the difference between the two values to determine the total cash flows.

Finalizing the Statement

Creating a cash flow statement with Excel can provide you with a deeper understanding of your finances and help you plan for the future. Once you have entered your data, taken the time to double-check it, and made any necessary corrections, it is time to finalize the statement.

Making sure that all calculations are correct

Before finalizing the statement, it's imperative that you double-check or even triple-check your calculations to ensure that all data is correct. If you're not sure of an equation, use the in-app help feature to ensure that the formula is correct. Additionally, if you're using Excel, you can use the in-app auditing tools to trace a formula, check for errors and identify any potential issues.

Adding titles and headers to organize data

To make the statement more usable, it is helpful to add titles and headers to organize the data. This can be done by formatting the headings including font type and size and adding color to the background cells. You can also add comments alongside certain data points to provide further clarity or an explanation for a certain item.

Adding a graph to visualize the data

Adding a graph to visualize the data in your statement can be useful for tracking any trends over time. To do this, you can insert a 2D or 3D graph into your cash flow statement and adjust the settings to clearly display the data in an easy to understand way. This can be invaluable in helping you to quickly spot any issues or gains in your finances over the course of the year.

Automating the Process

Creating a cash flow statement can feel daunting to those who do not have a lot of knowledge or experience with financial record-keeping. However, there are a number of ways to automate the process with Microsoft Excel, allowing users to track and interpret financial information much more easily. Here are few steps to get you started.

Setting up an Automated Spreadsheet

The goal of creating an automated spreadsheet is to allow the user to input all the required information into a single source and then have all the calculations done automatically. To get started, create an Excel spreadsheet and input the appropriate columns and rows. Depending on the user's needs, there can be several sheets in an Excel document and the user should name each of them accordingly. For example, one sheet may be used for entering in assets and expenses, while another may be used for generating reports.

Linking All Essential Inputs and Outputs

Once the initial sheets are created, the user should build automations that link all of the worksheets and formulas to simplify the data entry. This can be done by using functions such as Vlookup to link data from one sheet to another. Additionally, the user can use Excel features such as pivot tables, Conditional Formatting, and drop-down menus to create an interactive report. This will allow the user to quickly select data from multiple sources and input the values into the cash flow statement.

By following these steps and creating an automated spreadsheet, users can quickly and accurately generate cash flow statements with Excel. This will streamline the financial tracking and reporting process and reduce the manual inputting of data, helping to make the entire process faster and more efficient.


Creating a cash flow statement with Excel makes financial forecasting easier, faster, and more accurate. With automation, you can save valuable time and energy and streamline the process. Here we've reviewed the benefits of Excel in creating a cash flow statement, as well as some tips to make the most of this software.

Analyzing cash flow with Excel can empower businesses of all sizes to uncover KPIs and insights into their financial performance. Excel also enables businesses to receive timely and accurate insights into their cash flow for better decision-making.

Benefit to Analyzing Cash Flow with Excel

  • Can uncover KPIs and detailed insights into financial performance
  • Reliable, accurate insights in a timely manner
  • Better decision-making with reliable data

Tips on Creating an Efficient and Accurate Statement

  • Analyze cash receipts and expenses
  • Include all payment methods
  • Utilize Excel's automation capabilities
  • Check for discrepancies between different types of financial information

Describing the Ease of Automation with Excel

The automation capabilities of Excel are one of its major advantages. Once you enter the data, Excel can create custom formulas to help you quickly produce the cash flow statement. Excel also allows you to easily monitor and manage the cash flow of the business, ensuring accuracy and dependability.

Creating a cash flow statement with Excel can benefit any business. This is an important tool to track, analyze, and optimize your cash flow, and make smarter financial decisions. With Excel’s automation capabilities, this process can be streamlined, saving time and energy in the process.

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