This is the final post of our five-part series on working capital management. First there was a brief introduction to working capital management. Then, we talked about why cash is king. And most recently, we discussed the implications of having an efficient billing and collections process as well as a proper vendor strategy. The final piece of the working capital puzzle involves credit cards and other types of debt, which can include the following:

  • Short-term bank loans (due within the next twelve months)
  • Lines of credit
  • Accrued expenses (e.g. payroll or bonuses)