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:
Structured
Settlements Information :
What is Cash Flow?
by Afra Amir Sanjari
Cash flow simply means the money that comes into and leaves
a business or household. Money flows into a business in the
form of revenues and out through the form of expenses. Money
flows into a household in many forms. Are you receiving money
from a structured settlement or lottery? Those are incoming
cash flows. Do you owe money to anyone? Those are outgoing
cash flows.
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Also
read:
• Lump
Payment or Structured?
A structured settlement involves a financial or insurance
arrangement which includes a periodic stream of payments,
that a claimant or plaintiff accepts in order to resolve
a personal injury claim or other legal case.
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While
owner financing can trace its roots much further back into
history, it was the 1980s that really saw a new beginning
in the Cash Flow Industry. Today there are more than 60 income
streams that can be bought and sold. An income stream is a
future series of payments. More technically, an income stream
is a financial obligation or debt that one party owes to another
party.
How Can You Benefit from Cash Flow?
Individuals and businesses sell income streams for three basic
reasons: • Access -- it may be a need to pay debt, settle
a divorce, purchase a home, take a vacation, finance a wedding,
start a new business, etc. Whatever income stream you currently
have that you may need cash for immediately. • Interest
or Yield -- as interest or yield opportunities arise that
allow you to make more money than your current investments,
you may want to reallocate money from existing income streams
to new better-producing ones. • Inflation -- this eats
away at the future earning power of your money. You can sell
your income stream to avoid the drop in real value over time.
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Also
read:
• Premium
Financing Hedge Uncertainty
Affluent insureds can use leverage to buy life insurance
using recourse and nonrecourse premium financing. After
two years, the coverage may be sold as a Senior Life
Settlement, or retained.
•
Presettlement
Funding Could Help Injury Victims
It
is a new service that can help injured parties while
in litigation. This service can provide cash to injury
victims for living expenses or to complete the lawsuit,
and is non-recourse.
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Individuals and businesses buy income streams as a form of
investing that often produce better returns than they can
obtain from more traditional sources.
If you would like more information on how we can help you
buy or sell income streams, or for more information, contact
us today. info@ peacockcapital.com
About the Author
Afra Amir Sanjari is the Principal for Peacock Capital. Peacock
Capital specializes in solving the cash flow challenges of
Small/Medium Businesses, Government Vendors and Individuals
with innovative financial solutions by providing a network
for securing operating capital. http://www.peacockcapital.com
info@peacockcapital.com
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