The Study of Working Capital Strategies in Life Cycle of Companies

Mehdi Zohrabi, Mohammad Reza Abdoli, Mohsen Boujari


In the present challenging economy with increasing environmental pressures and limited foreign resources, current assets and debts have i.e. companies’ working capital have become very important, and optimal management of such a capital can be deemed as one their competitive advantages. The basic subject of this article is to study the study of working capital strategies in life cycle of companies. In order to investigate the effect of working capital management including current assets and debts on companies life cycle (here the only stages of grown up and maturity). The research is of applied type in view of objectives, and descriptive-correlative in view of data collection. The data were collected from library and the second hand data were gathered from stocks market. The data analysis was done by descriptive-deductive statistical methods. Ratio test was used to test research hypotheses and then regression method was used to study the control variables. T-test was used to study the effect of the type of company’s growth on the research variables. The findings revealed that most companies in grown up stage are more audacious and financial managers of the companies in grown up stage are more conservative.

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