Working capital is usually resorted to bank loans or even the launch and sale of shares in the market due to various financial reasons. Theoretically, we will align three important justifications: changes at the operations level, policy changes and changes at the operations level. About these subjects I will put it below:

Because the Working Capital Need, in order to better understand working capital, it is important to emphasize the approach to which it will be submitted and what is the amount necessary to sustain the current assets. 

The expectation of any analysis will be that the organization must correctly manage its working capital, with business awareness, in a balanced way so that any excess will not harm its behavior with its creditors (people who will collect its accounts ), whether suppliers or banks. I'm going to put below some meanings about working capital.

1-The concept of working capital (or working capital), identifies the resources that rotate several times in a given period, that is, it corresponds to a portion of capital applied by the company in its operating cycle, a short-term characteristic which is certain form takes different forms throughout its production and sales process.

2-Working capital are assets that normally must circulate and be transformed into cash.

3-In a broader sense, working capital represents the total amount of resources required by the company to finance its operating cycle, which encompasses, as mentioned, the circulating needs identified from the acquisition of raw materials to the sale of a certain product.

4-Net working capital represents, in general, the net value of investments (deducted from short-term debt), processed in the company's current assets (capital).According to this concept, the most direct way to obtain the value of net working capital is the simple difference between current assets and current liabilities.

5-More strictly, net working capital generally represents the portion of long-term resources (permanent resources) applied to items that are short-term assets (current), this interpretation of net working capital is processed from "bottom up" on the balance sheet, that is, identifying the long-term liabilities (own or third parties) that are financing the company's assets. working capital, as the receipt of credit will be in this efficiency, either by the supplier or any other type of creditor.

Working capital management is generally related to the management of such assets, that is, cash, negotiable securities, amounts receivable and inventories, in addition to relating to items in current liabilities.