cash crunch

USAGE SUMMARY

"cash crunch" is a correct and usable phrase in written English.
It is typically used to describe a situation in which a person or organization has insufficient funds to cover their expenses. For example, "The company was facing a cash crunch and had to downsize its workforce as a result."

✓ Grammatically correct

News & Media

Formal & Business

Human-verified examples from authoritative sources

Exact Expressions

60 human-written examples

A cash crunch hits Greece.

The New York Times

So the cash crunch is solved.

The Economist

Eventually, a cash crunch would set in.

The New York Times

But the looming cash crunch comes at a delicate time.

The New York Times

"In hindsight, these were early signs of a cash crunch".

The New York Times

"Right now, militants are facing a huge cash crunch".

The Guardian

Given its cash crunch, MoviePass doesn't have much time.

Harvard Business Review

Enron does not appear to face an immediate cash crunch.

The New York Times

In other words, running into a cash crunch didn't necessarily make Bain a "loser".

The Economist

In a botched buyout, management's plans fail to produce results and a dangerous cash crunch occurs.

The New York Times

The cash crunch appeared to have been more dire than previously disclosed.

The New York Times

Expert writing Tips

Best practice

When writing about a "cash crunch", clearly specify the entity experiencing it (e.g., a company, a government) and, if possible, the cause and potential consequences to provide context.

Common error

Avoid using "cash crunch" to describe situations of long-term insolvency or bankruptcy. A "cash crunch" is typically a short-term issue, while insolvency indicates a more fundamental inability to pay debts.

Linguistic Context

The phrase "cash crunch" functions as a noun phrase, typically acting as the subject or object of a sentence. It describes a temporary situation of financial difficulty, as evidenced by Ludwig's examples.

Expression frequency: Very common

Frequent in

News & Media

50%

Formal & Business

30%

Science

10%

Less common in

Academia

5%

Encyclopedias

3%

Wiki

2%

Ludwig's WRAP-UP

The term "cash crunch" is a common and correct phrase used to describe a temporary shortage of cash. As Ludwig confirms, it's widely employed in News & Media and Formal & Business contexts, indicating its broad applicability. When using this phrase, it's best to provide specific details about the entity experiencing the "cash crunch" and the potential causes or consequences. Avoid using it to describe long-term insolvency. Alternative phrases such as "liquidity crisis" or "funding shortfall" can be used depending on the specific situation. The phrase maintains a neutral register, making it suitable for various levels of formality.

More alternative expressions

Phrases that express similar concepts, ordered by semantic similarity:

cash flow problems

More general way to indicate there are issues with the movement of money.

financial shortfall

General term indicating a deficit in finances; less specific than "cash crunch".

liquidity crisis

Focuses on the inability to convert assets into cash quickly; more severe than a "cash crunch".

funding deficit

Emphasizes a lack of necessary funding, often in projects or organizations.

revenue shortfall

Specifically relates to a deficit in income or revenue generation.

budgetary constraints

Highlights limitations in spending due to a restricted budget.

fiscal strain

Indicates pressure on finances, often due to economic factors.

economic hardship

A broader term signifying general financial difficulties.

financial distress

Implies a state of acute financial difficulty, often preceding bankruptcy.

credit squeeze

Refers to a situation where borrowing becomes difficult or expensive.

FAQs

How to use "cash crunch" in a sentence?

You can use "cash crunch" to describe a temporary financial shortage, for example: "The company faced a "cash crunch" due to delayed payments from clients."

What can I say instead of "cash crunch"?

Alternatives include "liquidity crisis", "funding shortfall", or "cash flow problems", depending on the specific nature of the financial difficulty.

Is "cash crunch" formal or informal?

"Cash crunch" is generally considered a neutral term suitable for both formal and informal contexts, though more technical language might be preferred in highly formal settings such as academic papers or legal documents.

What causes a "cash crunch"?

A "cash crunch" can be caused by various factors, including delayed payments, unexpected expenses, economic downturns, or poor financial planning.