A company can improve its working capital by increasing its current assets. This includes saving cash, building higher inventory reserves, prepaying expenses especially if it results in a cash discount, or closely considering which customers to extend credit to (in an attempt to reduce its bad debt write-offs). A company can also improve working capital by reducing its short-term debts. The company can avoid taking on debt when unnecessary or expensive, and the company can strive to get the best credit terms available. The company can be mindful of spending both externally to vendors and internally with what staff they have on hand.