The number in your business account is only the starting point. What matters is what is left after your commitments.
Start with what you have. Remove what the business already needs. Look at what is left.
You open your banking app and see ₦1,200,000. It is easy to think the business has ₦1,200,000 available.
But the business may already need some of that money.
Rent may be due. Salaries may be coming. A supplier may still need to be paid.
So the useful question is not only, “How much money do we have?”
It is, “How much can we safely use after what we already need to pay?”
The account still has ₦1.2m. But once you account for the payments the business already needs to make, ₦470k is the clearer number for the next spending decision.
This is the money currently available in the business before considering what still needs to be paid.
These are known upcoming payments the business still needs to make.
This is the amount left after the commitments you have recorded.
Your account balance tells you what is there.
Safe to Spend helps you decide what is actually available after commitments.A commitment is money your business already needs for a known upcoming payment.
If the payment has already left your account, it is no longer a commitment. It is already Money Out.
If it is only something you might buy later, it is not a commitment yet.
Do not fill Commitments with every future idea. Record the payments the business already knows it needs to make.
If your commitments are higher than your Business Cash, spending more does not make the gap disappear. It makes the gap harder to manage.
Short by ₦120,000
Enter your current Business Cash and the commitments you still need to pay.
After ₦730,000 in commitments.
Check your Business Cash.
Update the Commitments you still need to pay.
Look at what is Safe to Spend.
You do not need a complicated report before every purchase. You need a clear number you can trust.
Safe to Spend is only as useful as the commitments you have recorded. If an important payment is missing, the number cannot account for it.
Quinbis App brings Business Cash, Commitments and Safe to Spend into one clear view, so you can see what is actually available before you decide.
