Working Capital Finance

Working capital finance is a type of financing provided to businesses to cover their short-term operational needs. This can include funding for inventory, accounts receivable, and day-to-day expenses. The primary goal is to ensure that a company has sufficient cash flow to continue its operations smoothly.

Working capital finance is vital for maintaining business continuity, managing day-to-day operations, and ensuring that a company can meet its immediate financial obligations. It is a crucial aspect of financial management for any business, particularly those with significant inventory and receivables.

Working Capital Finance Includes

  • Cash Conversion Cycle (CCC)
  • Current Ratio
  • Inventory Turnover
  • Interest Costs
  • Short-Term Focus: