What is the difference between a company being cash flow positive and profitable?

April 14, 2011 by Cash Flow Tips  
Filed under More Cash Flow Answers

Can you answer ziggle’s question about Cash Flow?:

I assume that being profitable is a stronger statement tha being cash flow positive – correct? Can you be profitable and not cash flow positive? Vice Versa?

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Comments

One Response to “What is the difference between a company being cash flow positive and profitable?”

  1. golferwhoworks on April 16th, 2011 9:32 am

    Cash Flow Feedback: accounts receivable would tell you where that lies. when heavy A/R you can be profitable but not positive

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