Define Working Capital?

[Patrik]

Capital means the money that your business will be based about, every thing that costs money in your business will be bought from that money, the term Budget can be used as well, but not in the professional field

 

[Kelvin7656]

Working capital is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital.

 

[WhiteHouse]

Working capital involves the relationship between a firm's short-term assets and its short-term liabilities. The goal of working capital management is to ensure that a firm is able to continue its operations and that it has sufficient ability to satisfy both maturing short-term debt and upcoming operational expenses. The management of working capital involves managing inventories, accounts receivable and payable, and cash.

 

[Seun4luv]

This is the amount of cash a business can safely spend. It's commonly defined as current assets minus current liabilities. This is also calculated based on cash, assets that can quickly be converted to cash (such as invoices from debtors), and expenses that will be due within a year.

 

[chicnthin]

From how I understand it, working capital is the amount you can spend safely for its operation or running your business. It is being used to pay your current debts. To get your working capital, deduct your current assets to the current liabilities.

 

[Chuksvicthor1]

In an ordinary sense, working capital denotes the amount of funds needed for meeting day-to-day operations of a concern. working capital refers to the current assets of a company that are changed from one form to another in the ordinary course of business, i.e. from cash to inventory, inventory to work in progress (WIP), WIP to finished goods, finished goods to receivables and from receivables to cash.

 

[btaliat]

As the name implies, working capital means the money used in running business. Business needs money to function. So the money in charge if this function is called working capital. It may increase or decrease depending on the needs of the business.

 

[Oliver 20]

Working capital is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital

 

[Adegbindin Abdullahi]

Working capital is the amount of cash a business can safely spend. It's commonly defined as current asset minus current liabilities. Usually working capital is calculated based on cash, assets that can quickly be converted to cash

 

[giddy]

Working capital, also known as net working capital (NWC), is the difference between a company's current assets, such as cash, accounts receivable (customers' unpaid bills) and inventories of raw materials and finished goods, and its current liabilities, such as accounts payable.

 

[.V.]

Working capital is the amount of money a business uses to run it's daily operations. One of its benefits are flexibility, enabling you to invest in new products and expand your business. It is also beneficial when your business needs some extra cash.

 

[Tiwa]

Working capital is the consolidation of all resources required ti carry on business in the moment as well as your reserve fund. Things that form part of working capital are salaries to employee, paying for supplies need for production, production or service premises, equipments and machineries. Its the sum of all you need to set the business going.

 

[Eyiteepraise]

Working capital is also known as net working capital, it is the difference between a company's current assets, such as cash, account receivable and inventories of raw materials and finished goods, and its current liabilities.
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Working capital is also known as net working capital, it is the difference between a company's current assets, such as cash, account receivable and inventories of raw materials and finished goods, and its current liabilities.

 

[Abbas ali]

Working capital is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital.
[automerge]1611300461[/automerge]
Working capital is a financial metric which represents operating liquidity available to a business, organization, or other entity, including governmental entities. Along with fixed assets such as plant and equipment, working capital is considered a part of operating capital.

 

[Nicklas22]

Working capital is the initial money you invested in a business, it's the money you used before the gain or any capital from the gain in added to the business to expand it
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Working capital is the initial money you invested in a business, it's the money you used before the gain or any capital from the gain in added to the business to expand it

 

[Adeyoola7]

Working capital is the amount of cash a business can safely spend. It's commonly defined as current assets minus current liabilities. Usually working capital is calculated based on cash, assets that can quickly be converted to cash (such as invoices from debtors), and expenses that will be due within a year .

 

[Peppul]

Working capital also known as net working capital ( nwc ) is the difference between a company's current assets, such as cash, account receivable ( customer's unpaid bills ) and inventories of raw materials and finished goods, and it's current liabilities, such as account payable. It can also be said to be a metric which represents operating liquidity available to business, organization or other entity including government entities, along with fixed assets such as plant and equipment. In general working capital is just a money set aside to start up a business.

 

[MarieArie]

A business’s working capital is equivalent to the amount of cash it can deploy very rapidly, otherwise known as its operating liquidity. Working capital is required for any business to pay its trade creditors for its day-to-day trading operations. Growing businesses often suffer from a lack of working capital due to long payment terms. Invoice finance, such as Market Finance, can be a solution to this problem.

 

[iCesarkevin]

Working capital is the amount of cash a business can safely spend. It's commonly defined as current assets minus current liabilities. It could be also called your investment.
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Working capital is the amount of cash a business can safely spend. It's commonly defined as current assets minus current liabilities. It could be also called your investment.

 

[Highflyer]

Working capital is the amount of cash a business can safely spend. It's commonly defined as current assets minus current liabilities. Usually working capital is calculated based on cash, assets that can quickly be converted to cash (such as invoices from debtors), and expenses that will be due within a year. Working capital is the difference between a company's current assets and current liabilities. Working capital is used to purchase inventory, pay short-term debt, and day-to-day operating expenses. Working capital is critical since it's needed to keep a business operating smoothly.