Working capital represents a company’s ability to pay its current liabilities with its current assets. The figure for working capital gives investors an indication of the company’s short-term ...

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 ...

The extent to which an increase in revenue will affect your company's working capital depends on how efficiently your business operates. If your company is already profitable, then more revenue should ...

Working capital is a company’s operational cash for daily functions like bill payments, supply purchases and ensuring smooth operations. Working capital is the money that a business uses for its ...

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 ...

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 ...

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, ...

Like any other industry, the cannabis market is expanding, and brands need financial solutions to support their expansion plans. The majority of traditional lenders avoid the cannabis market because ...

Explore why traditional working capital concepts don't apply to banks and understand alternative financial metrics that ...

Net working capital is positive if short-term assets exceed liabilities. Yearly net working capital change occurs from balance sheet variations. A significant increase in accounts payable can reduce ...