cash flow
Funds in, out
Cash flow is the movement of money into and out of a business, household, or other entity over a period of time.
Positive cash flow means more money is coming in than going out; negative cash flow means the opposite.
Businesses track cash flow closely because even profitable companies can fail if they run out of liquid funds to cover immediate expenses.
The startup was profitable on paper but had serious cash flow problems.
Business income total
- earningsMoney gained from work
- receiptsTransaction documentation
- inflowArriving stream or current
- salesRevenue from goods moved
commissions · royalties · dividends · interest · rent · receivables · collections · invoices
Estimating future conditions
- projectionSomething that extends outward
- planningArranging for future events
- trackingMonitoring location over time
- optimizationMaximizing efficiency or performance
budgeting · monitoring · analysis · treasury · timing · scheduling · reconciliation · variance
Capacity to pay debts
- reservesResources held back
- working capitalAssets minus current liabilities
- liquid assetsEasily convertible wealth
- convertibleCar with folding roof
disposable · buffer · cushion · runway · float · available funds · accessibility · flexibility
Affirming or certain
- negativeOpposite of affirmative
- surplusAmount exceeding requirement
- deficitAmount still owed
- shortfallFailure to reach quota
gap · strain · crunch · crisis · healthy · steady · consistent · irregular
Regular financial obligations
- payablesAmounts owed to others
- rentPayment for temporary use
- salariesFixed regular payments for work
- wagesPayment for work
bills · utilities · supplies · maintenance · insurance · taxes · overheads · costs
Spending on fixed assets
- reinvestmentReturning gains to capital
- ROIProfit-to-cost ratio
- funding roundsStartup capital-raising phases
- venture capitalStartup growth financing
seed funding · expansion · financing · capitalization · returns · appreciation · portfolio
revenue
Business income total
sales · commissions · royalties · dividends · interest · rent · receivables · collections · invoices · billing
forecasting
Estimating future conditions
- projectionSomething that extends outward
- planningArranging for future events
- trackingMonitoring location over time
optimization · budgeting · monitoring · analysis · treasury · timing · scheduling · reconciliation · variance · control
solvency
Capacity to pay debts
- reservesResources held back
- working capitalAssets minus current liabilities
- liquid assetsEasily convertible wealth
convertible · disposable · buffer · cushion · runway · float · available funds · accessibility · flexibility
positive
Affirming or certain
shortfall · gap · strain · crunch · crisis · healthy · steady · consistent · irregular · seasonal
outgoings
Regular financial obligations
bills · wages · utilities · supplies · maintenance · insurance · taxes · overheads · costs · payments
capital expenditure
Spending on fixed assets
- reinvestmentReturning gains to capital
- ROIProfit-to-cost ratio
- funding roundsStartup capital-raising phases
venture capital · seed funding · expansion · financing · capitalization · returns · appreciation · portfolio
- business financeaccounting, balance sheet, revenue stream, profit margin, budget
- money managementsaving, savings, budgeting, budget planning, expense tracking
- business problemshiring, staffing, payroll, expenses, funding
- flowsworkflow, backflow, current, flux, circulation
- transactionspayment, purchase, deposit, transfer, money transfer
- corporate financecost of capital, investment, capital markets, NPV, debt financing
cash flowilliquidity
Difficulty converting to cash
frozen assets · fixed assets · net worth · capital assets · equity
cash flowcash burn
Outflow exceeding income
expenditure · disbursement · outgoings · spending · payment
cash flowliquidity crisis
Inability to access funds
insolvency · cash shortage · bankruptcy · financial distress · illiquidity
flow, cash, flowing, cashier, flown, flows, cashes, cashiers, cashless