circulating capital

Working Capital

The amount of money a company has on hand, or will have, in a given year. Working capital is calculated by subtracting current liabilities from current assets. That is, one takes the value of all debts and obligations for the current year and subtracts that from the value of all cash and assets that might reasonably be converted into cash in the current year. This is a good measure of the short and medium-term financial health of a company, and may indicate by how much it can expand its operations without resorting to borrowing or another capital raising tactic. Working capital is also called operating assets or net current assets.
Farlex Financial Dictionary. © 2012 Farlex, Inc. All Rights Reserved

circulating capital

another way of describing WORKING CAPITAL which stresses how stock, debtors and cash circulate continuously through the business, as raw materials stocks are converted into finished goods stocks, sold to customers who become debtors, then are converted back to cash as the debtors pay, making funds available to buy yet more raw materials stock and so on.
Collins Dictionary of Business, 3rd ed. © 2002, 2005 C Pass, B Lowes, A Pendleton, L Chadwick, D O’Reilly and M Afferson
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