Originally Posted by
Self loading bear
In theory it is possible to build a new facility by means of lending the money or build it with a mortgage. Then only the pay back or interest weight on your yearly turn-over.
But these long term liabilities will of course draw down on your balance
Even if you pay for it in cash, the only affect on Profit will be the depreciation - i.e. one-20th of the cost (more or less depending on the type of asset).
Cash flow and profit are not the same.