Working CapitalWorking Capital CalculatorEnter the highlighted values, the others are calculated for you.NotesAnnual revenue200,000Gross margin %60%Gross profit / RevenueOverhead %25%Overhead / Revenue

Days credit given to customers60Inventory days60Days credit given by inventory suppliers30Days credit given by overhead suppliers30

Working Capital RequirementsAccounts receivable32,877Credit given to customersInventory13,151Invested in inventoryAccounts payable for inventory-6,575Credit given by inventory suppliersAccounts payable for overheads-4,110Credit given by overhead suppliersCash needed to fund working capital35,342

Percentage to apply to revenue17.7%Muliply annual revenue by this percentage for quick calculation of working capital requirements. Review the % periodically as the business changes.

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