Wor

kingCapi
talCheatSheet
Managi
ngWor
kingCapi
talEf
fic
ient
ly(10Strategi
es)

Accur
ateFor
ecast
ing: Shor
t-Ter
m Fi
nanci
ng
Pr
edictcashfl
ow andi
dent
if
y Useshor
t-t
ermloansorcr
edit
potent
ialshor
tfal
l
s. l
ineswhenneeded.

I
nvent
oryManagement
: Wor
kingCapi
talL
oans
Opt
imiz
einventoryl
evels Expl
oreloansdesigned
t
oreducecarryi
ngcosts. specif
icall
yforworki
ng
capit
alneeds.

Account
s Reeval
uat
ePr
ici
ng
Recei
vable: Adj
ustpr
ici
ngstrat
egies
I
mplementeff
ici
entbill
ing tomaintai
nhealthy
andcol
l
ecti
onpr ocesses. mar gi
ns.
.

Account
sPayabl
e: St
reaml
inedPr
ocesses
Negot
iat
efavorablepayment El
i
minat
ebott
lenecksf
or
ter
mswithsuppli
ers f
ast
ertur
naround.

CashFl
ow Moni
tor
ing: VendorRel
ati
onshi
ps
Trackcashinf
lowsandout
fl
ows Bui
l
dst r
ongrelat
ionshi
psto
ri
gorousl
y. negot
iat
ebet tert
erms

TI
ME FI
NANCI
NG
Wor
kingCapi
talRequi
rement
s

01 I
ndus
try/Nat
ureoft
heBus
ines
s
Support
sacons
tantminimum l
evelof Saf
e–fundsarecommitt
edandcan’
tbewithdr
awn
Pol
ic
ies
:Cr
edit
,Invent
ori
es,
Proc
urement
, sal
es,r
equi
redf
orongoingoperat
ions Expens
ive-long-
ter
mr at
esar
egener
all
yhigher
02 Fi
nanci
ngandDivi
dens

03 Mar
ketCondi
ti
ons
Theter
m offi
nancingshoul
dmat c
h Thet
erm off
inanc
ings
houldmatc
hthet
erm or
thet
erm ordurat
ionoftheproj
ect dur
ati
onoft
heproj
ect
04 Suppl
yAv
ail
abi
l
ity

05 Pr
oduc
tionCy
cleTi
me
I
nter
estr
atesaremos t
lylower,whi
chhelps
Support
sseas
onalpeaksinbusi
nes
s,is reduceinter
estpayments
neededtomeetshort
-ter
mf l
uct
uati
ons Ris
ky-mus tc
ontinual
lyrenewborrowi
ng
06 T
axesL
evel

07 Pr
ici
ngSens
iti
vi
ty
CanbeSeas
onalWCorSpec
ialWC Heav
ierus
eoflongerter
mfundsisc
onser
vat
ive
•Usingmor
es hort
-ter
mfundi
ngisaggr
ess
ive

Unl
ocki
ngWor
kingCapi
talSuccess(8St
eps)
SetCl
earGoal
s: Opt
imi
zeI
nvent
ory: Negot
iat
ewi
thSuppl
ier
s: Revi
ew andAdj
ust
:
Def
inetar
get
sforeach Reducecar
ryi
ngcost
s Ext
endpayabl
eswit
hout Adaptstr
ategi
esbased
worki
ngcapi
talmetr
ic. whil
emeeti
ngdemand. harmi
ngrel
ati
onshi
ps. onperf
ormance.

1 3 5 7
2 4 6 8
AssessCur
rentPosi
ti
on: Anal
yzeHi
stor
icalDat
a: St
reaml
ineRecei
vabl
es: Moni
torCont
inuousl
y:
Calcul
atecurr
entwor
king I
dent
if
ytr
endsandpat
ter
ns. I
mpr ovebil
li
ngandcol
l
ect
ion Regul
arl
ytr
ackandupdat
e
capit
almetri
cs. processes. metri
cs.

F
inanc
emades
impl
e& c
learf
orbus
ines
sowner
s!
Fol
low @mar
iaeugeni
aes
pinoz
amol
ina