hether or not your company has a monthly cash target, when working capital dries up, panic sets in. Often there’s a mad scramble to find any available source of cash, which in turn can lead to inconsistent accounting, overextension, and damaged long-term relationships with vendors. The good news is, there are proven ways to improve working capital management quickly that can also lead to sustainable results. The infographic below shows six ideas companies can use.
Improving working capital management is obviously a more complex process than shown here. A comprehensive and thorough review of a company’s operations by a professional can pinpoint untapped areas for efficiencies that will lead to more sustainable results.