Article: What does CASH FLOW really mean?(Theme)

What does CASH FLOW really mean?

By Dave Grubb

Liquidity can keep your head above water

Simply stated, cash flow is the amount of cash received and paid by a business during a defined period of time. As an owner/manager, it is one of the most important measures you have to operate your business. Your net cash flow statement is far more important to you in the day-to-day operation and health of your company than your profit and loss statement.

Unfavorable cash flow can result in the failure of a profitable business simply due to a lack of liquidity and ability to pay current bills. In today's economic environment maintaining liquidity ...

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