What is working capital?

What is working capital?

Ritu Singh Trainee Asked on October 31, 2014 in Accounting.
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2 Answer(s)


Working capital
is money available to a company for day-to-day operations.  It is the financing in a small business that helps a company pay its trade creditors and cash flow  It is a common measure of a company’s liquidity efficiency and overall health.

pooja Trainee Answered on October 31, 2014.
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Working capital is the money needed to fund the normal, day to day operations of your business. It ensures you have enough cash to pay your debts and expenses as they fall due, particularly during your start-up period.

linkremoval Trainee Answered on November 1, 2014.
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