Working Capital Calculator
Estimate net working capital and the cash conversion cycle to see how much cash is tied up in operations.
Explore your financing options
Optional. Share a few details and a financing professional can follow up about the structures relevant to your situation. Your calculator inputs are not sent — only what you enter below.
How this calculator works
The tool computes net working capital as receivables plus inventory minus payables, and the cash conversion cycle as days sales outstanding plus days inventory outstanding minus days payables outstanding — a view of how long cash is tied up between paying suppliers and collecting from customers.
What it does not do
Uses period-end balances and annualised ratios; it does not capture seasonality, intra-period swings, or the quality of receivables and inventory. It is an educational diagnostic, not a facility sizing.
Inputs
- Accounts receivable (USD)
- Inventory (USD)
- Accounts payable (USD)
- Annual revenue (USD)
- Annual cost of goods sold (USD)
Outputs
- Net working capital
- Cash conversion cycle
- Days sales outstanding
- Days inventory outstanding
- Days payables outstanding
Machine name for AI agents / WebMCP: calculate_working_capital_gap. See the tool manifest.
Frequently asked questions
Why does the cash conversion cycle matter?
A longer cycle means more cash is tied up in day-to-day operations, which is often what working-capital financing is used to bridge.
Does this size a facility?
No. It is an educational diagnostic using period-end balances; it does not capture seasonality or the quality of receivables and inventory.