Negative working capital

The financial definition for Negative working capital:

Occurs when current liabilities exceed current assets, which can lead to bankruptcy.

Similar Matches

Negative amortization

Negative amortization
A loan repayment schedule in which the outstanding principal balance of the loan increases, rather than amortizing, because the scheduled monthly payments do not cover the full amount required to amortize the loan. The unpaid interest is added to the outstanding principal, to be repaid later.

Negative cash flow

Negative cash flow
Occurs when spending in a business is greater than earnings.

Negative convexity

Negative convexity
A bond characteristic such that the price appreciation will be less than the price depreciation for a large change in yield of a given number of basis points. For example, a fixed-rate mortgage may lose value as rates go down because of prepayments.

Further Suggestions

Negative covenant
Negative duration
Negative income tax
Negative NPV tie in project
Negative pledge clause
Negative yield curve

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