Working capital is an essential part of running a successful business. It’s the difference between your current assets and liabilities, or put more simply, it’s the money you have available to use for day-to-day operations. When managed properly, working capital helps keep businesses running smoothly– enabling them to invest in new opportunities and weather any unexpected bumps along the way. But without a clear understanding of how working capital works and how to leverage it, businesses can struggle to remain solvent and profitable. In other words, if your business doesn’t have enough working capital, you could face serious financial difficulties. So taking the time to understand working capital, what affects it and how to manage it, can make all the difference.