| The main point of this research is to give illustration regarding the effectiveness of the using of working capital by a company recalling that a company with no sufficient working capital will face difficulties in executing its operational activities. Conversely, a company with copious working capital will lead to inefficiency, moreover when the capital derives fromout-sources. Fund management (including working capital) that is not transparent, often occurs in companies in Indonesia. Both go public companies and companies that receive credit facilities from banks. The in-transparency has caused inefficiency in the stock market and the default of Indonesian Banking System that could be witnessed in 1998 to 2003. This would not occur if only all the related parties (Stock Market Authority, Banking Authority, Security Issuer and Debtor) could work transparently. The need of the company’s working capital can be calculated based on several methods. However, companies that need continous and permanent working capital are included in observed object companies, and they work in trading (importer) field; the best and simplest method to use is the flow method of the creation element of working capital with a future sales projection. One of most important factors in calculating the nedd of a company’s working capital is how the company’s financial condition, working capital management policy and management policy towards company’s future working capital. A company’s past and current financial condition can be traced by executing a Financial Report analysis that covers Liquidity, Leverange, and activity analysis. Whereas, management policy on working capital can be found in capital source and usage analysis, especially working capital source and usage analysis. The study concludes that a company’s need of working can be fulfill with, first faster the collection off account receivable from 129 days can make company must fulfill a sum of working capital. Second with make a long term debt to the supplier (exporter) with open L/C with the two conclusions the company can solve (fulfill) they working capital need’s. |