What is a cash flow analysis?
A cash flow analysis is an examination of a business’s cash intake measured against its expenses, for a set period of time. When considering an energy upgrade, a cash flow analysis looks at how long it will take for your improvement to pay for itself in energy savings.
In other words, a cash flow analysis can let you know how quickly you will begin to see a return on your investment.
It is an important step to take when considering financing, (often required by the lending institution), and can help you structure loan payments in such a way that you can pay for them with your projected energy savings, rather than going out of pocket.