WORKING CAPITAL MANAGEMENT BASED ON THE STUDY AT SAKTHI SUGARS, TAMILNADU

Working capital is a very important concept in finance. Any firm, irrespective of its area of operations, requires working capital to carry out its day-to-day activities. The effective and efficient use of working capital is a major concern for any organisation as excess of working capital means the firm is unnecessarily keeping its liquid fund in an idle investment, which does not earn any return. But at the same time, a lower level of working capital may at time seven hinder the daily operations of the firm. Hence, the topic of “Working Capital Management “is of vital importance. The study has been conducted to understand the importance of working capital management and measures to do it with special reference to Sakthi Sugars based in Tamil Nadu. Working capital analysis and ratio analysis tools have been used for the study. The study helps in finding out how a firm can do effective management of its working capital.