Working capital
Working capital is the difference between a company’s current assets and current liabilities, representing the funds available to manage day-to-day operations.

In Luxembourg, maintaining adequate working capital is vital for ensuring liquidity and operational efficiency. Companies monitor working capital to guarantee they can cover short-term obligations, invest in growth opportunities, and navigate fluctuations in market conditions. Effective working capital management is a key indicator of financial health in Luxembourg’s competitive business environment.

Working capital