Title: 3 Working Capital Management Strategies For Your Business - QuickBooks
Headings: 3 Working Capital Management Strategies For Your Business
3 Working Capital Management Strategies For Your Business
What is Working Capital Management?
Strategies to Manage Working Capital
1. Inventory Management
2. Cash Management
3. Accounts Receivable Management

Content: Furthermore, cash management is an important component of working capital management. Cash includes coins, currency, drafts, cheques and bank deposits. Furthermore, it also includes marketable securities as these get easily converted into cash. So, cash is an important component of current assets. Therefore, a business should have an adequate amount of current assets at all times. It means that cash should neither be inadequate nor in excess. This is because inadequate cash would hold production. Whereas excessive cash will remain idle and impact the profitability of the business. Thus, a business needs to manage cash in order to manage its working capital. Now, the basic objectives behind cash management are: