Monthly Cash Flows are the net amount of money that flows into or out of a business over a given period. This is calculated by taking the total cash received in the month, subtracting any outgoing payments and adjusting for any timing differences between when money enters or leaves the business. Acting as an important measure of financial health, Monthly Cash Flows can give businesses insights into their overall performance and provide key stakeholders with a reliable indicator of how quickly they will be able to pay off debt or invest funds in new ventures.