Cash Flow Analysis
/ˈkæʃ floʊ əˈnæləsɪs/
Definitions
- (n.) The process of evaluating the inflows and outflows of cash within a business or entity, often to assess liquidity, solvency, and financial health in legal contexts such as bankruptcy, mergers, or regulatory compliance.
The court ordered a cash flow analysis to determine the company's ability to meet its debt obligations.
Forms
- cash flow analysis
- cash flow analyses
Related terms
See also
Commentary
Cash flow analysis is critical in legal settings for assessing a party's financial condition, especially in insolvency and compliance matters.
This glossary is for general informational and educational purposes only. Definitions are jurisdiction-agnostic but reflect terminology and concepts primarily drawn from English and American legal traditions. Nothing herein constitutes legal advice or creates a lawyer-client relationship. Users should consult qualified counsel for advice on specific matters or jurisdictions.