Free Working Capital Calculator

Working capital is the cash and near-cash resources you have to run day-to-day operations. This calculator gives you working capital in dollars, plus the two liquidity ratios lenders always look at — current ratio and quick ratio — with plain-English guidance on healthy ranges.

Results

Working capital$70,000.00
Current ratio1.88

Healthy (1.5–3.0)

Quick ratio1.38

Healthy (1–2)

Disclaimer: This calculator provides estimates only and does not constitute financial advice. Actual loan terms may vary by lender.

About the Working Capital Calculator

The formulas

Working Capital = Current Assets − Current Liabilities. Current Ratio = Current Assets / Current Liabilities. Quick Ratio = (Current Assets − Inventory) / Current Liabilities. The quick ratio strips out inventory because it can't always be converted to cash quickly.

What the numbers mean

A current ratio above 1.5 is generally healthy; below 1.0 signals a liquidity problem. Quick ratio above 1.0 is healthy — it means you can cover short-term debts without selling inventory. Extremely high ratios (above 3.0) can mean cash is sitting idle instead of being deployed.

Why lenders care

Any bank underwriting a business loan will pull your current and quick ratios first. Weak liquidity ratios push your interest rate up or get the loan declined. Fix these ratios before you apply.

Frequently asked questions

Related Loan Tools

Other free tools in the loans & financing silo.