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Business Liquidity Calculator

Answer the fields below and click on calculate to get insights
into your business’s liquidity

Current assets
Add current liabilities → See working capital & ratio
Add liabilities & inventory → See quick ratio
₹
Labor costs
Add purchases, overhead, inventory → See COGS & inventory turnover ratio
₹
Current liabilities
Add current assets → See working capital & working capital ratio
Add assets & inventory (beginning and ending) → See quick ratio
Add accounts payable → See cash cycle
₹
Overhead costs
Add labor, purchases, inventory (beginning and ending) → See COGS & inventory turnover
₹
Beginning inventory
Add ending inventory, labor, overhead → See COGS & turnover
₹
Purchases
Add labor, overhead, inventory → See COGS & inventory turnover
Add accounts payable → See cash cycle
₹
Ending inventory
Add beginning inventory, labor, overhead, raw materials → See COGS & turnover
₹
Collection Period (Days)
Add net sales → See DIO
Add turnover & payables → See cash cycle
Accounts Payable (₹)
Add turnover & DIO → See cash cycle
₹
*Note: Fill all inputs to unlock all ratios and insights.

Cost of Goods Sold (COGS)

0

Average Inventory

0

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Here’s our insights on your business’s health

Your working capital is
0
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Your working capital ratio is
0
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Your quick ratio is
0
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Your Inventory Turnover Ratio is
0
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Days Inventory Outstanding (DIO) in days
0
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Cash Conversion Cycle in days
0
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Results
Your working capital is
0
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Your working capital ratio is
0
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Your quick ratio is
0
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Your Inventory Turnover Ratio is
0
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Days Inventory Outstanding (DIO) in days
0
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Cash Conversion Cycle in days
0
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  1. Auto-generated financial reports
  2. Visual dashboards for receivables and payables
  3. Customize tiles for key business indicators
  4. Track cash, inventory, and expenses at a glance
  5. Drill down from summary to transaction
  6. Share reports instantly via email or WhatsApp
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Why Business Financial Health Calculator is Important?

Evaluate Cash Availability

Check whether your business has enough liquid assets to cover day-to-day expenses and short-term obligations.

Detect Cash Flow Problems Early

Spot potential liquidity gaps before they turn into financial stress or missed payments.

Build Trust with Investors, Lenders & Suppliers

Show stakeholders that your business is financially stable and capable of meeting commitments.

Benchmark Your Business Performance

Compare your liquidity position against industry standards to see how efficiently you’re managing resources.

Improve Financial Decision-Making

Use insights from your liquidity ratios to plan investments, manage debt, and allocate funds wisely.

Strengthen Long-Term Business Stability

Maintain a healthy liquidity position to ensure smooth operations, even during slow revenue periods.

Business Liquidity Calculator – Ideal Users and Features

Who Can Use Business Liquidity Calculator?
Key Features of Online Business Liquidity Calculator
Our Business Liquidity Calculator is designed for
  • Small and medium business owners
  • Startups and entrepreneurs
  • Accountants and financial analysts
  • Investors and lenders assessing company health
  • Students learning financial management concepts
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Take Control of Your Finances
with TallyPrime

Managing liquidity and making smart financial decisions doesn’t
have to be overwhelming. With TallyPrime, you can:

Get real-time insights into your working capital

Get real-time insights into
your working capital.

Automate inventory tracking and optimize cash flow

Automate inventory tracking
and optimize cash flow.

Generate key financial reports with just a click

Generate key financial reports
with just a click.

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Tips to Strengthen Your Business’s Liquidity

speed-up-collections
Speed Up Collections

  • Send invoices immediately and follow up on overdue payments.
  • Offer discounts for early payments to encourage quicker settlements.

optimize-invetory
Optimize Inventory

  • Identify slow-moving stock and clear it with special promotions.
  • Maintain just enough inventory to meet demand without overstocking.

negotiate-suplier
Negotiate Supplier Terms

  • Request extended payment terms to ease cash flow.
  • Build strong relationships with suppliers for better flexibility.

manage-expenses
Manage Expenses Smartly

  • Review recurring expenses and eliminate unnecessary costs.
  • Consolidate purchases to negotiate bulk discounts.

plan-for-growth
Plan for Growth

  • Keep a portion of your working capital as a reserve for unexpected opportunities.
  • Reinvest surplus liquidity into high-impact business areas like marketing or new products.

track-key-metrics
Track Key Metrics Regularly

  • Monitor ratios like Current Ratio and Quick Ratio to stay ahead of potential issues.
  • Use tools like this Liquidity Checker to review and refine your strategy quarterly.

Experience the difference

Thousands of businesses trust Tally to simplify their
operations and stay financially strong.

Experience the difference

Frequently asked questions

A liquidity ratio measures how well a business can pay its short-term obligations using assets that can quickly be converted into cash.

Liquidity ratios help determine if your business has enough resources to meet short-term debts, which is crucial for maintaining smooth operations and financial stability.

Typically:

  • Current Ratio: 1.5 – 2.0
  • Quick Ratio: 1.0 – 1.5
  • Cash Ratio: 0.5 – 1.0 However, ideal ranges vary by industry.

Yes! It’s perfect for startups and small businesses to monitor cash flow and ensure financial sustainability.

Yes, our Business Liquidity Calculator is 100% free and requires no sign-up or installation.

A ratio below 1 suggests your business may struggle to pay short-term debts with available assets. You might need to improve cash flow or reduce liabilities.

  • Liquidity measures short-term financial strength (cash availability).
  • Profitability measures how much profit your business generates.

Yes, simply enter different financial data sets for each business and get individual results.

Not at all! It’s built for simplicity — anyone can use it with basic knowledge of assets and liabilities.

No, we do not store or share any information you enter. Your privacy is completely protected.