Define Working Capital?

[Kehinde]

Capital is another word for money and working capital is the money available to fund a company's day-to-day operations – essentially, what you have to work with. In financial speak, working capital is the difference between current assets and current liabilities.

 

[Umerfarooq]

Definition. Working capital is money that a business can spend safely. This is usually interpreted as negative current liabilities of existing assets. Working capital is usually calculated on the basis of cash, assets that can be quickly converted into cash (such as creditors' receipts) and expenses incurred within a year

 

[Princeeffiong]

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. Also it can also be defined as A firm's working capital consists of its investments in current assets, which includes short-term assets—cash and bank balance, inventories, receivable and marketable securities.

 

[Sadia aslam]

I think capital is very important for any business. What does money mean?It has great value in business. Without it, business cannot be set from zero.Without it, the alphabet of business would not exist because the real thing is done

 

[Daniel52]

Working capital is that which you use in the starting up a business and it the amount used maintain the sustainability of the business. It has nothing to do with profit.

 

[Eodine]

Simply put, working capital is the funds set aside for the daily running and activities of the business. Since the lifeline of a business requires money for it's fixed and variable cost, working capital is usually calculated for to provide for day to day activities.

 

[Doriss]

A firm's working capital consists of its investments in current assets, which includes short-term assets—cash and bank balance, inventories, receivable and marketable securities. Therefore, the working capital management refers to the management of the levels of all these individual current assets.

 

[tyrim88]

Working capital is the amount of money you invested into any business that has the potential to generte income and still has the value to keep the business running

 

[Sheyemanu]

Well your question on what working capital is has me confused because what I knkw is just capital that's the more popular one, Well i would try and answer your question by saying working capital is the amount required to start your business and run it daily

 

[Senator]

Working capital is different from the amount of capital you actually used to start or set up the business. The working capital can also be termed as running capital. It is the capital you use to carryout running expenses in the business

 

[Damscooguns73]

Concerning define working capital. Well, I can say that working capital is a money or funds that is used in raising or raising a purposed business plan by an individual or group of people. This money gets to sustain them for a while till the time of making profit

 

[Setho]

After you have invested or have set up a business, you need to leave out some money for some runnings of the day to day affair. This is called the working capital.

 

[Senator]

When you establish a business, you have what you set aside as your working capital for that business. This is what you use to personally run the business like salaries and expenses like levies etc

 

[Shigobad20201]

In my own definition,, working capital can be defined as the money you used in starting a business and its importance is to reach a target and make more money for you so that you can make gain.

 

[Promise]

Working capital is that money or asset in which abusiness survive on. I is like a threshold that the business won't Cross.

 

[Setho]

Whenever a business budget is made, money is allocated for various projects in the company . there is also money set aside for the normal day to day runnings and they is the running capital.

 

[Setfragil]

The definition of working capital to me as a layman is, the amounts of money you have in the business that is used to buy and sell in which your profits is being calculated, is your working capital.

 

[tyrim88]

Working capital is the capital that an entreprenuer or an organisation usually have in place as an operational base for revenue generation,this could be in form of investment liquidity or in the form of fixed asset.

 

[Richard92]

Working capital management is a very important component of corporate finance because it directly affects the liquidity and profitability of the company. It deals with current assets and current liabilities. Working capital management is important due to many reasons. For one thing, the current assets of a typical manufacturing firm accounts for over half of its total assets. For a distribution company, they account for even more. Excessive levels of current assets can easily result in a firm’s realizing a substandard return on investment.

Working capital is the capital that you used to run your day-to-day business this the money you use for daily expenses in order to make the business going.

 

[Bousine123]

The money you put into a business to bring you profits is called a working capital, anything asides that can be called profits or expenditure.