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| Posted by | Message | Lookin4Par
Northwestern Fan
Shreveport
Member since Jun 2012
606 posts
| Sunbelt Business Brokers (Posted on 11/20/12 at 12:56 am)
Their business for sale listings have the asking price, revenue and cash flow on the listing. I am wondering what the cash flow means on these advertisements.
example:
convenience store
asking price: 975,000
Revenue: 1,300,000
cash flow: 360,000
This cash flow must mean the net profit right?
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LSU Fan
Baton Rouge
Member since Feb 2009
497 posts
 Online
| re: Sunbelt Business Brokers (Posted on 11/20/12 at 8:09 am to Lookin4Par)
Not necessarily net profit as you know it. More like cash before capital replacement and maybe even debt repayment in some cases. You will have to scrub the numbers to see.
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