Working Capital Calculator

Input Current Assets: Input Current Liabilities:

Output Working Capital:

Output Working Capital Ratio:

Input Revenues: Beginning Current Assets: Beginning Current Liabilities: Ending Current Assets: Ending Current Liabilities:

Beginning Working Capital:

Ending Working Capital:

Average Working Capital:

Working Capital Turnover Ratio:

Working Capital Calculator: Unlock Your Business Liquidity 🏢

What Is Working Capital?

Working capital, also known as net working capital (NWC), is a crucial financial indicator. It reveals the difference between a company’s current assets (CA) and current liabilities (CL). CA includes cash, cash equivalents, inventories, and accounts receivables—essentially everything that can be converted into cash within 12 months. CL encompasses financial and operating debts, such as accounts payable.

Together with long-term assets, working capital forms the capital employed—the total investment available for generating operating profit. The formula is simple:

[ Capital Employed = Long-Term Assets + NWC ]

How to Calculate Working Capital?

The net working capital formula is straightforward:

[ NWC = CA - CL ]

A positive NWC is desirable. Additionally, consider the working capital ratio:

[ NWC Ratio = CA / CL ]

Why Use Our Working Capital Calculator?

Short-Term Liquidity: Determine the net resources available to run your business.
Precision: Get accurate results for better financial planning.
Business Insights: Understand your liquidity dynamics.

Remember, working capital is your financial compass. Use our calculator wisely, and may your business thrive!