How much working capital does my business need?
You need enough working capital to cover the gap between paying your costs and getting paid, plus your seasonal peaks, plus a buffer for surprises.
5 min read
Help Centre
Cash flow
A profitable business can still run out of cash. Timing is the usual cause: you pay suppliers, staff and the ATO before customers pay you, and growth or a slow season widens the gap.
These guides explain working capital, how to estimate how much your business needs, and the early warning signs that cash is getting tight. Most fixes start inside the business, with tighter terms, better collections and a regular cash-flow forecast. Finance can smooth timing gaps, but it adds cost, so we cover it after the practical steps.
Last reviewed 25 Sept 2026
Guides in this section
How to build a cash-flow forecast
A useful forecast follows payment dates, not sales dates. Start with cash in the bank, then map receipts and payments for each coming period.
2 min read
How to improve cash flow without borrowing
Cash pressure often comes from timing and processes you can improve before taking on repayments.
2 min read
Is too much stock tying up your cash?
Stock can look like an asset on the balance sheet while leaving too little cash for bills. Review what sells, how quickly and when you must reorder.
2 min read
What are the warning signs of cash flow problems?
Late customer payments, paying suppliers late, falling behind on tax or super and using personal money to keep going are common early warning signs. Acting early gives you more options.
4 min read
What is working capital?
Working capital is the money your business has available to run day to day. It is usually measured as current assets minus current liabilities.
5 min read