Working Capital

Capital tied up in day-to-day operations, commonly measured as current operating assets minus current operating liabilities.

Examples

01The company has EUR 15 million of working capital tied up in inventory and customer receivables, less supplier payables.
02Working capital is reviewed monthly by the finance team, with inventory, receivables and payables shown separately.
03Smaller batches and faster invoicing free EUR 2.5 million of working capital, which is used to fund a new machine.