Free Cash Flow Calculator

Posted by Dinesh on

Free cash flow or free cash flow to firm is a way of looking at a business's cash flow to see what is available for distribution among all the securities holders of a corporate entity.

In other words, free cash flow is the cash left over after a company pays for its operating expenses and capital expenditures (CapEx).

Free Cash Flow Calculation

Formula:

f = n - c - d + a

Where,
f = Free Cash Flow
n = Net Income
d = Changes in Working Capital
a = Amortization / Depreciation