What is one type of revenue income for a small business?

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Cash sales represent one of the fundamental ways a small business generates revenue income. This refers to the money received from customers at the point of sale for products or services provided. Cash sales are critical because they reflect direct transactions with consumers, which contribute immediately to the business's income. This is a primary revenue stream, especially for retail or service-based businesses, as it directly impacts cash flow and the business's ability to cover expenses and reinvest in operations.

In contrast, borrowed funds represent capital that must be repaid and do not contribute to revenue. Investors' income, while beneficial, refers to funds received from investors, typically in the form of equity rather than revenue generated through business activities. Interest revenue is income earned from financial investments or savings, not directly tied to the core business functions of selling goods or services. Thus, cash sales are the most straightforward and relevant source of revenue income for a small business.

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