The nuclear potential, the transfer-induced dissipation, and the mass diffusion coefficient in heavy-ion collisions are investigated in a proximity formulation. An energy-dependent nuclear potential is calculated in the frozen wave function approximation using two slabs of symmetric nuclear matter, each described by Hartree-Fock single-particle wave functions. Corrections to the inertia parameter are also evaluated from this potential. The flux entering the window formula for the friction between two heavy ions is calculated in a simple barrier penetration model. The classically forbidden flux is found to make a significant contribution. The transfer flux arising from both the relative motion and finite temperature of the nuclei is calculated and the latter is used to estimate the mass diffusion coefficient. Using the mean trajectories from time-dependent Hartree-Fock calculations the charge variance is calculated for the reaction 84Kr(712 MeV) + 209Bi and is found to be in agreement with experiment.