Business Finance Terms, Explained Simply.

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What is a Working Capital Adjustment?

A working capital adjustment is the mechanism in a transaction that ensures the buyer receives a business with a normal,....

What is Wealth Preservation?

Wealth preservation is the discipline of protecting assets accumulated through a business exit from erosion by tax, poor investment decisions,....

What is the Wealth Gap?

The wealth gap is the difference between what a business and personal assets are worth today and the amount needed....

What is Working Capital Optimization?

Working capital optimization is the active management of receivables, payables, and inventory to reduce the cash tied up in the....

What is the Working Capital Ratio?

The working capital ratio, also called the current ratio, divides current assets by current liabilities to show whether the business....

What is a Working Capital Facility?

A working capital facility is a credit arrangement specifically structured to fund the short-term operational cycle of a business, bridging....

What is Working Capital Management?

Working capital management is the active discipline of managing the timing of cash coming in and going out, to ensure....

What is Working Capital?

Working capital is current assets minus current liabilities, the net short-term financial resources a business has available to fund its....

What is Work in Progress (WIP)?

Work in progress is the value of work that has been started but not yet completed or billed, a balance....