What is working capital?

Working capital = Current assets − Current liabilities. Positive working capital means you can cover short-term obligations. The current ratio (assets ÷ liabilities) above 1.0 indicates short-term financial health.

Working Capital Calculator

Estimate working capital from current assets and liabilities.

This tool runs in your browser. None of your data is saved or sold.

Current assets ($)

Current liabilities ($)

About This Calculator

Working capital (current assets minus current liabilities) measures a business's short-term liquidity — its ability to meet obligations coming due within the next 12 months. The current ratio (current assets ÷ current liabilities) benchmarks your liquidity against industry standards.

Estimates only — not financial, tax, legal, or investment advice. Verify important results with a qualified professional before making decisions.

working capital = current assets − current liabilities; current ratio = current assets ÷ current liabilities