income stream

Income Stream

The money a company generates on a regular basis. For example, a company may have a steady income stream from its primary client, and periodic revenue from other, smaller clients. An income stream connotes steady pay. See also: Cash flow.

income stream

A steady flow of money from a property.When evaluating the property, one has to evaluate the strength and durability of the income stream.

Example: Is the tenant a national tenant with good financial strength, excellent prospects for continued health, and a 20-year lease on the property with rent adjustments annually to reflect cost-of-living increases, or is the tenant a start-up business with a 1-year lease in an area already saturated with similar businesses? Those two income streams are markedly different from each other.