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
Examples are automatically compiled from online sources to show current usage. Read More Opinions expressed in the examples do not represent those of Merriam-Webster or its editors. Send us feedback.
In conjunction with the acquisition, a new working capital facility equivalent to SEK2.5B has been established and the company will be cancelling its existing €646M guarantee facility. Max Goldbart, Deadline, 17 July 2025 These solutions enabled companies to reduce lead times, decrease working capital requirements, and improve uptime by ensuring the availability of supply for critical parts. 2024: Strategic Necessity Achieved 2024 marked the inflection point at which AI became integral to supply chain resilience. Paul J. Noble, Forbes.com, 16 July 2025 Tariffs must be paid before goods are released, tying up working capital when it’s needed most. Richard Howells, Forbes.com, 27 June 2025 In high-stakes areas like cost and spend management, where trillions in working capital, supplier relationships and operational resilience are on the line, this difference is not academic. Leagh Turner, Forbes.com, 10 June 2025 See All Example Sentences for working capital

Word History

First Known Use

1798, in the meaning defined above

Time Traveler
The first known use of working capital was in 1798

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Cite this Entry

“Working capital.” Merriam-Webster.com Dictionary, Merriam-Webster, https://www.merriam-webster.com/dictionary/working%20capital. Accessed 23 Jul. 2025.

Legal Definition

working capital

see capital

More from Merriam-Webster on working capital

Last Updated: - Updated example sentences
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