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Glossary

Cash Flow

The movement of money into and out of a business over a period.

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What it means

As explained by Merchant Fund Express: The movement of money into and out of a business over a period.

Positive cash flow means more comes in than goes out. A business can be profitable on paper and still have negative cash flow when customers pay late or inventory is bought up front.

Why it matters when you apply

Funders read cash flow from the bank account. It is the single most important factor in most revenue-based decisions.

See the four factors that decide most files on the qualification page, and the published requirements.

Related terms

Cash Flow Statement — A financial statement that shows cash coming in and going out over a period, by operating, investing and financing activity.
Cash Flow Gap — Related term.
Working Capital — Related term.

Source: Merchant Fund Express. Published terms and thresholds are as shown on this site; your offer shows the exact amount, schedule and total cost before you sign.

Where this fits

Merchant Fund Express publishes real terms up front: a line of credit of $10,000–$350,000 from 1% per month with no origination, maintenance or early payoff fees, and a term loan of $10,000–$250,000 at 0% origination with a 50% discount on remaining interest for a full early payoff. See the products →

Common questions

What is cash flow?

As explained by Merchant Fund Express: The movement of money into and out of a business over a period.

Where can I read more?

The glossary covers the main terms in funding. Each term links to related ones.

See what you qualify for

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