Your cash flow determines whether your company can stay in business. Income is high as long as sales are good; cash flow is only high if customers are paying you. If not enough cash comes in, you ...

The first fundamental rule of doing business is ensuring a company generates the needed cash to pay for fixed and variable expenses while still turning a profit. Investors use a variety of methods to ...

Cash flow is a term you might hear when discussing business, but did you know it pertains to your personal finances, too? Business cash flow refers to incoming and outgoing money in a company, and its ...

Investopedia contributors come from a range of backgrounds, and over 25 years there have been thousands of expert writers and editors who have contributed. Andy Smith is a Certified Financial Planner ...

The cash flow statement reveals a lot about a business that you can't immediately find on the income statement or balance sheet. For example, many companies are profitable on the income statement, ...

Turnover is vanity, profit is sanity, and cash flow is reality. Cash is the lifeblood of a healthy business. Check how you’re doing with our cash flow calculator. Even the most profitable companies ...

Cash from operations is comparable to how much you have in your bank account on the first of the month vs. the last of the month. When working capital decreases, the company might be spending to ...

Calculating the internal rate of return, or IRR, of an investment is a powerful tool for businesses. When a manager is faced with a capital intensive decision, IRR can quickly compare the financial ...

Calculating cash flow for real estate matters because it can help you to determine how profitable a rental property investment is likely to be. Looking at how much you could charge in rent for a ...

Tracking your cash in and cash out is an important part of running your business. Learn how to calculate the flow. Many, or all, of the products featured on this page are from our advertising partners ...

The cash flow statement reveals a lot about a business that you can't immediately find on the income statement or balance sheet. For example, many companies are profitable on the income statement, ...

This means your business is bringing in more cash than it’s spending. That’s a green flag. It gives you the flexibility to pay your bills on time, invest in growth opportunities, and build a financial ...