Business Cash Flow & Working Capital Gap Calculator
Work out your cash conversion cycle and the funding gap it creates. If you pay suppliers before your customers pay you, growth consumes cash - and the faster you grow, the bigger the hole.
Frequently asked questions
Why does growth consume cash?
You pay for stock and wages before customers pay you. The longer that gap, the more cash each additional dollar of sales ties up. Profitable businesses fail this way regularly.
What is the cheapest way to close the gap?
Usually collecting faster - it costs nothing but discipline. Every 10 days off your debtor days releases about ten days of revenue in cash permanently.
General advice warning: This calculator provides general information only. It does not take into account your objectives, financial situation or needs, and it is not personal credit or financial advice.
Results are estimates based on the inputs and assumptions shown. Any interest rate used is an example and is not an offer of credit. Speak to a licensed credit representative before acting on these figures.