2 min read
Within a yearConvert to cash soon
Cash, stock, debtorsThe quick side
Definition
Current assets sit on the balance sheet and include cash, trade debtors (money customers owe you), stock and short-term investments. They are the near-term resources available to meet current liabilities.
In plain terms
They are the "quick" side of your balance sheet — value that can become cash soon, as opposed to long-term assets like premises or equipment.
Why it matters for your company
Comparing current assets with current liabilities gives your working capital and current ratio. See reading your balance sheet.
Related reading
Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.