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 ...

Operating cash flow (OCF) is an important measurement to understand. It’s used to calculate financial success of a company’s critical activities. OCF is the first section portrayed on a cash flow ...

Learn the differences between cash flow and EBITDA, key financial metrics that influence a company's profitability and operational performance.

What goes into generating a single dollar of revenue, in your business? Can you accurately define your true operating costs? So many times I’ve heard owners say: “I take my material cost and multiply ...

Every corporation needs reliable access to capital to stay in business. Positive cash flow allows businesses to cover expenses, plan growth initiatives and reward long-term shareholders. Cash flow ...

Free cash flow is the amount of cash a business has remaining from operations after paying capital expenditures. Find out how investors can use free cash flow to measure the financial health of a ...

Cash flow is essential to running a successful business. Understanding your company’s liquidity is nonnegotiable, and a cash flow statement gives you clear visibility into how money moves through your ...

“Cash is King” is more than just a cliché; it is a fundamental truth. A company can report billions in profit on its income statement, yet if it runs out of the actual money needed to pay its short ...

The three financial statements that every company produces include the income statement, the balance sheet and the statement of cash flows. The cash flow statement provides information about the state ...