Tuesday, April 13, 2010

How do figure out cash flow in commercial property?

what is the right mathematical equation to figuring out the end cash flow(profit) in a property?

How do figure out cash flow in commercial property?
Cash flow and profit are not the same thing. Cashflow is the sum if incoming (like rents) and outflowing (like maintenance costs) money that is directly related to the property, while profits take into account also the overhead costs of the company, like the salary you pay to the man collecting the rent, taxes and the difference in current value of the property compared to what it was worth last year.


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