Business Quote by Warren Buffett
“The value of a business is the cash it's going to produce in the future.”
About This Quote
Source Interview: Berkshire Hathaway Annual Meeting, 2020
A business’s worth is measured by its future cash generation, not current assets.
In simple terms: Future cash flow defines business value.
Key Takeaway
Focus on long‑term cash generation.
Themes
finance
valuation
investment
Mood
analytical
practical
Type
financial
advice
When to use this quote
- financial analysis
- investment decisions
- strategic planning
Key Concepts
discounted cash flow
future earnings
business modeling
Questions to Reflect On
- How to assess intangible assets?
- What risks affect future cash flow?
A Different Perspective
May neglect non‑financial value.
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