Working capital is the most important of all financial concepts a business owner must understand. By definition, it is the money needed to support the day-to-day operations of a business (Staff, 2013). When you start a business, you will need to have sufficient working capital to keep the business running smoothly. Conversely, lack of working capital can lead to business failure. Working capital can come from net income, long-term loans, sales of fixed assets, and funds provided by investors, but many business owners use their personal financial resources to finance their business. Working capital also gives confidence in a business. Having enough of it makes it easy to attract investors or obtain business loans. Working capital is very important in a business because it helps the business continue its operations. However, not only is it important to conserve your capital, but business owners also need to know how to manage it. Another concept related to this is working capital management. According to Sunday (2011), working capital management is an essential concept in a business. It maintains the financial stability of the company and ensures the smooth running of the business. Working capital management also ensures a company's cash flow. This allows the company to cover all its debts and obligations on time and also avoids the risk of bankruptcy. Successful working capital management helps the company remain solvent and ensures good working capital stability. Working capital management includes managing inventory, accounts receivable and payable, and cash flow. In a small and medium business, it is very important to apply this concept because...... middle of paper ......the articles are informative enough but details are still missing. Some missing information concerns other factors that affect working capital, additional ways to improve working capital, other ways to determine working capital needs, and the most effective way to maintain working capital stability. bearing. Readers can learn a lot from these articles, but they may still want to know more about certain information such as sources of working capital, how to increase working capital, business operating cycle and the working capital cycle. Working capital is indeed very important in all businesses. . Strong working capital management is necessary for all businesses. A good accounting record must be maintained by the financial manager to avoid conflicts. As a young finance manager, you need to learn the basics of working capital as it will lead you to success..