What is a good working capital ratio
working capital Working capital, or net working capital , is a measure of a company's liquidity, operational efficiency, and short-term financial health Working capital is the capital a company has left after it covers all of its debts It is calculated by subtracting current liabilities from
Working capital, also called net working capital , is an accounting formula that is calculated by subtracting a business's current Gross Working Capital refers to a firm's current assets used in business operations, including cash and marketable securities, inventory, accounts receivable
Ideally, you want a working capital of at least Anything below that shows lenders and creditors that your business is in trouble If working Working capital is a financial metric that indicates the liquidity levels of businesses for managing day-to-day expenses and covers inventory, cash,