Operating Net Working Capital (ONWC) is an important financial metric that measures a company’s short-term liquidity and financial health. It is defined as the difference between a company’s current assets, such as cash, accounts receivable, and inventory, and its current liabilities, such as accounts payable and accruals. A positive ONWC indicates that a company has the ability to meet its short-term obligations and may indicate good financial stability. Conversely, a negative value may be a sign of financial distress and difficulty in meeting future demands. Therefore, it is essential for business owners to keep an eye on their operating net working capital and make sure it remains healthy.