A Linear Benefit Stream refers to a situation where a stream of future benefits (incomes or cash flows) trend at a constant rate. Linear benefit stream does not imply lack of growth. It implies the benefit streams are trending at a constant rate. The use of linear benefit streams in forecast draws from the evidence gleaned from historical performance. A stable historical trend can form the basis of predicting that future income or cash flows will follow historical trend for which reason linear benefit stream forecast can be relied upon. However, because of the complex dynamics of real life, business valuators often apply non-linear benefit streams by varying underlying assumptions which are unlikely to remain constant over a forecast period. In business valuation analysis the type of benefit stream applied by the valuator will depend on the specific interest being valued such as an equity interest, invested capital, intangible asset, tangible asset, etc. In addition to the type, the nature of the interest being valued informs the valuator which specific benefit streams is most relevant.