Abstract:
Working capital is a financial measure which stands for functioning liquidity accessible
to a business, organization, or other institution, for example, governmental institution.
Along with permanent assets, for example, building and equipment, working capital have
deemed a component of operating capital. There are four basic parts of the working
capital.
To meet the daily obligation and to run an organization smoothly organization keep
working capital. And to maintain working capital managers should think two different
sides 1) if they hold more working capital, then they keep the more liquid money on hand
for this they could invest less. 2) If they hold less liquid money on hand than they face
problems to meet their daily obligation. So working capital or liquid money should
behold at a rate where they easily meet their daily obligation and also consider investing.
Investment is the main motive of an organization, working capital is also an investment
to run the organization smoothly. This paper determines at which rate the organization
should take working capital or effectively use working capital.
The necessity for working capital fluctuates from industry to industry, and they can even
differ among comparable companies. This is because of various ingredients, for example,
the divergence in the compilation and settlement policies, Time of asset purchases, the
possibility of a company script off a few its past accounts receivable due, and on any
occasion, capital-breeding attempt a company is an endeavor. Working capital is the part
and parcel of an organization to manage it’s a daily obligation. Beximco Pharma was
established in 1976 and launched activities in 1980, it’s the leading manufacturing
company in Bangladesh. It produces goods under the licenses of Bayer AG of Germany
and Upjohn Inc. of the United States. Nowadays Beximco Pharma produces and markets
its qualified generics for various diseases in particular AIDS, cancer, asthma,
hypertension for both domestic and global markets. This study is based on working
capital management. To manage such a massive organization working capital is very
essential. Excessive and deficit working capital, both harmful to an organization. The
need for working capital is based on the nature of business. Bangladesh is a developing
country and its GDP is increasing day by day. Overpopulation is not the only curse but
also a blessing because of cheap human resources. It follows a mixed economy
(capitalism and socialism) for this business organization to find a suitable environment.
In the medicine industry, Bangladesh has a good fame in the international market.
Working capital and economic situation have a positive relation. Economic situation
impact on organization function.
Description:
To determine the working capital position and need for working capital at first we have to
know about the company because working capital is required on the basis of the company’s
goal, objective, and policy. Beximco Pharmaceuticals Ltd (Beximco Pharma) is a driving
producer and exporter of prescription in Bangladesh. Integrated in the late 70s, Beximco
Pharma leads off as a reseller, importing Goods from worldwide MNCs like Bayer,
Germany, and Upjohn, USA, and marketing them in the local market, which was later
constructed and scattered under the approval system. Since then, the journey ongoing, and
today, Beximco Pharma is one of the broader exporters of medicines in Bangladesh,
victorious National Export Trophy (Gold) a record five times. The company continues to
stick to the universal standards and its production accommodations have been beforehand
qualified by the statutory administration of the USA, Europe, Australia, Canada, Latin
America, and South Africa. Over the last three decades Beximco Pharma evolved from
strength to strength, but the pure notion on which it was established residue the same:
manufacturing high-quality generics and making them cost-effective. Ensuring entrance to
standard medicines is the impressive l ambition that drives greater than 3,800 employees
of the company, and everyone is directed by the same ethical and social responsibilities the
company values most. They always seek to give our best access to standard quality and
low cost so that affordable for everyone's medicines main reason they know good
health cannot be bought it is priceless. Beximco Pharmaceuticals Ltd (Beximco Pharma)
is a novel generic medicine player promised to give easy access to affordable medicines
for all class people. The company’s state-of-the-art producing facilities have been certified
by the standard regulatory authorities of the USA, Australia, the European Union, Canada,
and Brazil, among others, and it has recently focused on providing a presence in many
nascent and devised markets around the world. Beximco Pharma is systematically
constructed upon its portfolio and recently manufacturing more than 500 goods,
encompassing broad curative categories and the Company has established strong and
powerful differentiation by offering a selection of high-tech, specialized products that are
challenging to emulate.