What is Accrual vs Cash Basis Accounting?

The accrual basis tends to smooth out a company’s earnings versus using a cash basis. However, cash basis accounting can better reflect true cash flow and discount any A/R not paid in full for reasons such as slow-pay, bad debt, and allowances.

  • Cash Against Documents (CAD)

    Cash Against Documents (CAD): In Documentary Collection (D/C or Cash Against Documents) credit providers act as facilitators for their clients by only releasing funding on proper document presentation. Cash against documents funding is a much more robust type of cash…

  • Cash Flow Projections

    A cash flow projection is a report of how, where and when money is moving through a business over a given time period. This data is used to project future cash flow patterns allowing a company to plan for growth,…

  • Carried Interest

    Carried interest is a share of any profits that the general partners of private equity and hedge funds receive as compensation, regardless of whether or not they contributed any initial funds. This method of compensation seeks to motivate the general…

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