This paper adopts the stochastic frontier analysis (SFA) to model working capital efficiency (WCE) on a sample of 6170 European firms from 2009 2018. We find: (i) larger are more efficient with their management (WCM) than smaller firms, (ii) higher cash holding contributes WCE, (iii) high competition is less conducive WCE low competition, (iv) export and sales growth potential decrease (v) incr...