Business health calculator
Working Capital Calculator
See the gap between what you own and what you owe in the short term. Your entered values stay out of analytics.
Formula and assumptions
Net working capital = current assets − current liabilities. Operating working capital = inventory + receivables − payables.
- Use balances from the same date, in the same unit, for example from your balance sheet.
- Operating working capital is shown only when you enter inventory, receivables and payables.
- One number on its own cannot show how a business is doing.
- Amounts are rounded to 2 decimal places (half up).
Formula version 1.0, last reviewed 1 October 2026.
Frequently asked questions
What are current assets and current liabilities?
Current assets are things you expect to turn into cash within a year, such as cash, receivables and stock. Current liabilities are amounts due within a year, such as payables and short-term loans.
Does a positive number mean the business is doing fine?
Not on its own. This tool describes the figure and does not give a verdict. Compare it with your own earlier periods and the nature of your trade.
Why is there an operating working capital figure?
It leaves out cash and loans and looks only at stock, money customers owe you and money you owe suppliers, which are the parts that move with day-to-day trading.