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Business
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Number of pages / Number of words: |
4 / 1082 |
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Keeping inventory levels low can also help reduce the strain on the company's working capital. Managing inventory and workflow will help with the working capital issues, but can be outsourced if the company cannot handle the burden. Financing for a period of 1 year or less is considered short term financing...
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Financing for a period of 1 year or less is considered short term financing. These funds are usually for businesses to run daily operations which include payment of wages to employees, inventory ordering and supplies. A simple example of short term financing is when a firm places an order for raw materials; it pays with a finance plan and anticipates paying this loan by selling these goods over the period of a year (Encyclopedia Britannica, 2005)...
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