We've covered working capital a few times in the past...
- 101 – What is working capital
- 201 – Working capital drivers
- 301 – Optimizing & analyzing working capital
But today we're covering probably the all-time most useful ratio when it comes to managing working capital... the Cash Conversi...
How to Optimize Working Capital
This is part 3 in a mini-series on working capital (check out part 1 here and part 2 here).
Let's recap the basics so far:
- What is working capital? Receivables (A/R) plus inventory minus payables (A/P). Don't forget to include credit cards.
- Why is it important?...
Profit vs. Cash Flow
Ever feel like your business is profitable, but you're still struggling to pay bills and cover day-to-day expenses?
Today we'll build on the Working Capital 101 concepts we covered last week and drill deeper into the differences between profit and cash flow.
Remember: Profit ...
What the Heck is Working Capital?
You're probably sick of hearing about working capital.
Every business has working capital and next to cash, working capital is the lifeblood of every business. (If you think you don't have working capital in your business, please send me a note, I want to hear abo...
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