working capital

noun

: capital actively turned over in or available for use in the course of business activity:

a

: the excess of current assets over current liabilities

b

: all capital of a business except that invested in capital assets

Examples of working capital in a Sentence

Recent Examples on the Web

Legacy’s working capital plummeted 40% in its 2023 fiscal year. —Jmanning, oregonlive, 17 Aug. 2023

The metrics to be measured likely will be similar to those used prior to the merger or acquisition, including things such as quality of earnings, working capital, and cash flow. —Forbes, 3 Jan. 2023

At the beginning of the quarter, the company held a public offering of its class A common stock, with the proceeds used for working capital. —Caitlin Huston, The Hollywood Reporter, 14 Aug. 2023

Structure Media The monthly fee covers the attached garage parking, common maintenance, common utilities, landscaping, snow removal, management, common area cleaning, working capital, and general reserve contributions. —John R. Ellement, BostonGlobe.com, 19 July 2023

The plan returns excess funds back to member schools when the AHSAA has at least one year’s working capital in reserve. —Ben Thomas | [e-mail], al, 28 July 2023

Turo had just over $300 million in cash and cash equivalents as of Sept. 30, which the company said is enough to fund its working capital needs for at least the next 12 months. —Laura Forman, WSJ, 27 Dec. 2022

Roose also cites several other metrics to demonstrate the company’s relative operational health: Cowboy inventory is down 50 percent from a year ago and its working capital position is stable. —Thomas Ricker, The Verge, 21 July 2023

For example, in one of the sub-communities, this includes a $156 working capital fee and a $175 transfer fee, according to Danielson. —Haeven Gibbons, Dallas News, 17 July 2023

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Word History

First Known Use

1798, in the meaning defined above

Legal Definition

working capital

see capital