Working Capital Accounting is the process of tracking, managing, and planning for the day-to-day financial activities of a business. It focuses on short-term financial management, such as cash flow, inventory control, accounts receivable, collection efforts, accounts payable, borrowing capacity and other operational assets. The goal is to maximize the liquidity of a business by ensuring that money is available when it’s needed and properly allocated when it arrives. It’s key to keeping your business running at optimal efficiency, allowing you to respond quickly to changes in the market or new opportunities. With careful monitoring of your working capital, you can take steps to free up necessary funds so you don’t miss out on those chances for success.