PLAIN-LANGUAGE DEFINITION
The movement of cash into and out of a business. Positive cash flow means more money is coming in than going out. A profitable business can still have cash flow problems if customers pay slowly.
What to check
Review the cash timing behind the metric, not just the reported sale or expense.
Where this connects to Impresa
You may encounter this concept when reviewing Cash Flow Engine. Start with the underlying inputs and check the applicable reporting period before interpreting the result.
Read the Cash Flow Engine guideA NOTE ON INTERPRETATION
NEXT DEFINITIONOperating Cash Flow ↗Definitions here explain the concept. Accounting treatments, formulas, and industry comparisons may vary. Use your own records and qualified advice for material decisions.