answersLogoWhite

0

A cash flow loan's purpose is to finance growth or an acquisition. The cash flow that is generated by the borrowing company is used as collateral for the loan.

User Avatar

Wiki User

12y ago

What else can I help you with?

Related Questions

Long term loans are repaid from what source of cash flow?

Long term loans are part of cash flow from financing activities.


Impact of loans on cash flow?

loan received or paid is part of cash flow from operating activities.


What is the purpose of operating cash flow?

The purpose of operating cash flow is to achieve a financial and fiscal balance or profit. Proper cash flow management is the key to success for any business.


What does Lenders Loans provide?

Lenders Loans provide financial services to customers. They allow one to take out short term loans in cash when one needs money quickly and has cash flow problems.


What is the purpose of a cash flow analysis?

Cash flow can be:operational cash flow (the flow of cash for normal operation of the business)financing cash flow (the flow of cash for financial activities like loans, dividends, stocks, etc.)investment cash flow (the flow of cash for investments like plant & machinery, land, and other long term capital expenditures)


What is a cashflow budget?

Budgeted cash flow statement is the estimated cash flow statement for planning purpose before the actual activity starts


What are the object and stages of cash flow statement detail?

Main purpose of cash flow statement is to show the cash inflows and outflows from different business activities.Stages are as follows:Cash flow from operating activitiesCash flow from financing activitiesCash flow from investing activities


Where can one find reliable cash flow lenders?

Reliable cash flow lenders can be found at Biztree, Western Sky, Cash One, Happy Cash Loans, PSF Lending and other websites. You can also check with local lenders for options.


Organic cash flow?

Algebraic sum of Inflows plus outflows, excluiding dividends and loans drawdown or repayment.


What is the definiation of cash flow notes?

Cash flow notes are basically money promised to a person by another. This could be in the form of an annuity or loans when business assets are used at collateral. These are usually paid in monthly installments.


What is the purpose of a cash flow projection?

The cash flow projection forecast is used by a business owner to predict future money requirements. This is done to avoid overspending and bankruptcy.


Where can a business get financing to improve cash flow?

A business can get small (or large) loans from their local bank in order to increase or improve their cash flow. SOmetimes owners can take receipts to their lender and show them pre-orders or a trend in sales in order to take bridge loans without putting up collateral.