Working capital calculator
Enter your current assets and liabilities and a few yearly figures. See working capital and your cash cycle.
- Current ratio
- Cash conversion cycle
- Free, no sign-up
Business on the side?
Business income changes your return and sometimes your deadlines. Our experts handle the tax side.
Questions people often ask
Which ITR form do I need?
ITR-3 for business income, or ITR-4 if you use presumptive tax.
Do I need a tax audit?
Only above the turnover limits in section 44AB; see our tax audit check.
Cash tied up
Three timings.
- Inventory days: how long stock sits.
- Receivable days: how long customers take to pay.
- Payable days: how long you take to pay.
Last reviewed 9 October 2026. The rules in this calculator come from these official sources.
- Individuals with business or professional income Income Tax Department
Common questions
What is working capital?
Current assets minus current liabilities: the money that keeps the business running day to day.
What is a good current ratio?
Often 1.2 to 2, depending on the business. Below 1 means short-term dues exceed short-term assets.
What is the cash conversion cycle?
Days of inventory + days to collect from customers − days to pay suppliers: how long cash is tied up.
How do I shorten it?
Collect faster, hold less stock, or agree longer terms with suppliers.
Which balances should I use?
Year-end or average balances, used consistently.
