Low working capital may signal financial risk or smart management. Discover how to assess its impact on a company's financial ...

Companies need capital to remain operational and grow, and the amount of capital a company has is a strong indicator of its financial health. Working capital can be divided into two categories: gross ...

Understanding working capital as a small business owner can help you grow your business or take advantage of bigger opportunities. You can use this and other financial ratios to better understand your ...

Textbooks and financial courses often state that a healthy balance sheet is characterized by, among other things, positive net working capital. Conversely, negative working capital may indicate ...

Working capital is the amount of money a company has available in short-term liquid assets. It determines a company’s immediate liquidity and is often used to manage cash flow and for other forms of ...

A business's net working capital refers to its current assets minus its current liabilities. The result measures the current liquidity of the company and its ability to repay creditors over the coming ...

Gregory Milano is founder and CEO of Fortuna Advisors LLC and author of Curing Corporate Short-Termism, Future Growth vs. Current Earnings. Many executives, especially those with a finance background, ...

A business can have great products, strong sales, and even loyal customers, but without enough working capital, things can quickly stall. Better management of working capital can improve a company's ...

Although Working Capital – which refers to the funds a business uses in its day-to-day operations – is seen as a relatively mundane metric, we think it’s quite useful to identify quality businesses.

Companies must measure risk, develop, then implement strategies for maintaining a positive cash flow. This strategy is called a working capital management strategy. The goal of an efficient working ...