ACCOUNTING GLOSSARY
CFS
Cash Flow Statement
A statement classifying cash flows from operating, investing and financing activities.
What does CFS mean?
A statement classifying cash flows from operating, investing and financing activities. Professionals may calculate, document or apply this concept differently depending on the transaction, accounting method, lender policy and governing documents. Borrowers should confirm the precise definition used in any term sheet or agreement.
CFS in context
Equipment purchases appear in investing cash flow while new borrowing appears in financing cash flow.
Why it matters in financing
CFS can influence how a lender, investor or advisor evaluates risk, pricing, structure, repayment capacity or transaction economics. It should be considered together with the complete financial picture rather than used alone.
Related accounting terms
Educational information only. This definition is general, may not match a particular lender or contract, and is not financial, accounting, tax or legal advice.