Abstract
This paper revisits the concept of working capital requirements (WCR), emphasizing its critical importance in both short-term financing and investment decisions. The author, Najib Ibn Abdeljalil, argues that covering WCR entirely with short-term resources undermines profitability and increases financial risk, while insufficient stable funding can jeopardize entire projects. Although the necessity of integrating WCR into stable financing is well established, its evaluation—particularly for forecasting purposes—remains challenging. This paper aims to enrich existing evaluation methods by proposing a more economic approach based on the internal knowledge of the firm and its operational characteristics, specifically focusing on the operating WCR of industrial companies.
Recommended Citation
Abdeljalil, Najib Ibn
(1989)
"Revisiting the Concept of Working Capital Requirements,"
Revue Marocaine de Droit, d'Economie et de Gestion (Moroccan Journal of Law, Economics and Management): Vol. 8:
Iss.
2, Article 8.
https://doi.org/10.66499/2665-7112.1688
Available at:
https://scholarhub.univh2c.ma/remadeg/vol8/iss2/8
DOI
10.66499/2665-7112.1688