How to Grow and Maintain Sufficient Supply of Working Capital in Business
Grow Working Capital If you are working in a collections team under receivable department of any company then you might be aware about the importance of adequate supply of working capital in a business. In this article i will let you know few tips to ensure smooth management of working capital. Let's get started. Meaning of Working Capital Working Capital refers to the amount of available funds-in-hand to pay off the routine expenses, such as daily wages to workers, paying subscriptions, repairs or general admin (maintenance) expenses. So, if a business organisation wants to maintain sufficient opening balance in its day book then it should focus on the following 3Ps of its collection team in the organisation: People Process & Physical Evidence (Use or Right Tools) Let's talk about each element one by one and at the end we will discuss the pin-points that can be followed to ensure a good working capital management. People It r...