Working capital management in accommodation establishments

Working Capital which is one of the primary issues of financial management states the investments that establishments fund for their current assets. Essential expense groups which are required to begin the production for a fully formed establishment are being named as working capital. These expense groups are consists of liquid assets, goods and chattels, trade receivables and inventories. The working capital is fairly substantial for the establishments to operate in full capacity and not to be hard up financial distress.Hospitality industry; that gain speed after 1980?s and which is the vital point of the tourism sector that looms large in economy of Turkey; is such a field that requires sizeable investments and working capital. The hospitality establishments have a bearing on variations due to its industrial characteristics such as seasonality, demand fluctuations high turnover rate of labor, the necessity of consuming the production on where they are produced and being unable to store. Therefore the working capital management on hospitality establishments becomes more of an issue.Key words: 1) Accommodation Establishments 2) Working Capital Management