Unfunded Capex Formula:
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Unfunded Capex represents the gap between planned capital expenditures and the funds actually available to cover those expenditures. It's a critical metric for financial planning and investment decisions.
The calculator uses the simple formula:
Where:
Explanation: A positive result indicates a funding shortfall, while a negative result means you have surplus funds.
Details: Calculating unfunded capex helps organizations identify funding gaps, prioritize investments, and make informed decisions about financing options like debt or equity raises.
Tips: Enter both values in the same currency. The calculator accepts any currency amount (dollars, euros, etc.) as long as both inputs use the same currency.
Q1: What's considered a "good" unfunded capex?
A: Ideally, unfunded capex should be zero or negative (surplus). Positive values indicate a funding gap that needs addressing.
Q2: How often should this calculation be done?
A: For active projects, monthly tracking is recommended. For annual budgets, review quarterly.
Q3: What if my unfunded capex is positive?
A: Consider options like reducing planned capex, increasing available funds through financing, or prioritizing projects.
Q4: Does this include operating expenses?
A: No, this calculation is specifically for capital expenditures (capex), not operating expenses (opex).
Q5: Can this be used for personal finance?
A: Yes, the same principle applies to personal investments like home renovations or large purchases.