Main Article Content
Abstract
India is a fast developing Country. Micro, Small and Medium Enterprises (MSMEs) is one of the pillars of growth of Indian Economy. Working Capital Management is very important for a company in order to balancing between risk and efficiency of firms. The Small Scale Industries has been renamed as Micro, Small and Medium Enterprises (MSMEs) with the introduction of Micro, Small and Medium Enterprises Development Act, 2006. MSMEs are facing many competitions from Domestic firms and the Multi-National Companies. Inadequate finance is the major problem for MSMEs. MSMEs internarial sources are small. So they approach the various institutional agencies like all Commercial Banks, SFI, and SIDBI. The Initial Investment are from relatives, friends, non-banking financial institutions and non-governmental sector. The banking institutions are ready to provide finance to MSMEs with less processing time. They are unable to offer security guarantee required by them. MSMEs loans are provided with better interest rate in support of its growth. Various measures taken by government for the revival of sick enterprises. This study measures the Working Capital Problems of Micro, Small and Medium Enterprises (MSMEs). The Secondary Data have been used for the study. The period of the study covers 2015-2019from the financial statement of financial position and income statement. It was concluded that Average Payable Period has shown positive effect. Inventories Turnover in Days has negative relationship.