Capital management

Capital management in financial operations refers to how a company manages its money and resources to ensure it can meet its day-to-day expenses while also investing for future growth. It involves balancing short-term needs, like paying employees and bills, with long-term investments, such as expanding facilities or launching new products. Effective capital management optimizes the use of funds, improves cash flow, and enhances profitability, ensuring that the business remains financially stable and capable of strategic investments. Ultimately, it helps a company achieve its financial goals while maintaining operational efficiency.