what is working capital?

Can anyone please define what is working capital?


Working capital is generally capital set outside of family costs and expenses for the use for business purposes. 

Working capital could be your savings, cash from a home equity credit line, provided by an investor or investors for specific investment purposes or could be money borrowed for your business or borrowed in your personal name.



cash you can use.

as opposed to cash you cannot use (CD’s etc), notes receivable, inventory, IOU’s from grandma or anything else you can’t give to the store in exchange for the stuff you want to buy.