top of page

What are the different sources of cash flow (e.g. revenue, loans, investments)?

Curious about Cash flow

What are the different sources of cash flow (e.g. revenue, loans, investments)?

The different sources of cash flow can be broadly categorized into two categories:

1. Operating Cash Flow: This includes the cash flow generated by the operations of a business, such as revenue from sales, receipts from customers, and payments made to suppliers and employees.

2. NonOperating Cash Flow: This includes cash flow generated from sources outside of a company's regular operations, such as investment income, loans, or asset sales.

Specific sources of cash flow might include:

Revenue from sales of goods or services
Payments received from customers or clients
Loans or lines of credit from financial institutions
Investment income from stocks, bonds, or real estate
Cash from the sale of assets such as property or equipment
Grants or subsidies from governments or other organizations
Returns on investments in other companies or ventures.

It's important to note that not all sources of cash flow are equal, and some may come with additional costs or risks. For example, while taking out a loan can provide immediate cash flow, it also comes with interest payments and potential default risks.

bottom of page