Financial forecasting and planning is a business process that involves looking ahead to anticipate future financial performance. It involves analyzing historical data and other relevant information, such as economic trends and market conditions, and then making projections about the likely financial outcomes. Using financial forecasting and planning helps businesses make smarter decisions about budgeting, investing and revenue plans, leading to improved profitability. Ultimately, this allows for better decision-making when it comes to financial strategy and long-term sustainability.