WORKING CAPITAL MANAGEMENT

One way to gain cash is through raising capital from external sources, i.e. by having investment projects financed through a financial institution. However, what most companies forget is that cash reserves most likely already lay hidden within the company. Those potentials can easily be unleashed and accessed by the companies when optimizing their working capital.

By decreasing the working capital, i.e. by improving the performance of accounts receivable, a company can free-up capital that can be used to invest in business-areas that would promise a greater financial return.