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

When your small business has temporary cash flow problems and you don’t want to touch your cash reserves, a working capital loan can help cover short-term expenses. Whether it’s for payroll, rent, ...

Aggressive and conservative levels of working capital sit at opposite ends of the spectrum. An aggressive policy means spending as much as possible to churn out products, move inventory and deliver ...

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

A working capital loan is funding taken out by a business to help with day-to-day costs and expenses. Here’s how they work and what you should consider when contemplating whether one might be right ...

Capital expenditures (CAPEX) and net working capital are both essential for the short-term and long-term success of a company. However, there are distinct differences between the two metrics. Net ...

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 ...

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 ...

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 ...

If your business is falling short on cash, and it's getting harder to (literally) keep the lights on, a working capital loan can be a short-term answer to your financial prayers. This type of loan can ...