First, explore the impact the “worst-case scenario” might have on your company if it were to occur at any given moment. Consider how your company will function after the loss of clients, in the case that payments that cannot be fulfilled or are delayed, or following the closure of office space. You have to determine where you can allocate funds to stay afloat and how you can meet changing market demands and conditions.
This forecast can also be used as a scenario test. If you plan for a worst-case, best-case, and actual scenario you can see the direct impact of layoffs, decreases in revenue, or the potential to need to take out a loan.
A normal cash flow forecast would use the numbers from prior years to create best and worst-case scenarios, but in light of the current situation, a little more flexibility may be necessary.