Working Capital Needs

operating cycle · cash conversion · capital required
Inputs enter operating-cycle figures
Operating Cycle
Average collection period (days)
Inventory days held average days stock sits before it is sold
Payables days (supplier terms) days you wait to pay suppliers after purchase
Collection
—
DSO
Inventory
—
DIO
Payables
—
DPO
DSO + DIO − DPO = cash conversion cycle
Cost of Sales
Monthly COGS ($) ≈ $4,931.51 / day
Daily cost ($, optional) uses monthly when blank
Sales-Growth Sensitivity
Projected sales growth +0%
−20%0%+25%+50%

Cost of sales scales with growth, so the daily cash burn and the cash tied up in the cycle rise with it.

Working Capital Requirement enter cycle and cost figures
Awaiting input
Working capital required
—
Enter your collection, inventory, and payables days plus a projected cost-of-sales figure to see how much cash your operating cycle ties up.
Cash Conversion
—
DSO + DIO − DPO
Operating Cycle
—
collection + inventory days
Daily Cash Cost
—
—
Annual Cost of Sales
—
annual spend at this daily rate
Plain-Language Result
Fill in both sections above to get a plain-language read of your working capital need.
Requirement at Each Growth Level
Sales growth Daily cash cost Capital required Days of COGS

Working capital need = daily cash cost of sales × cash conversion cycle days. Cost of sales is projected from monthly COGS (×12 ÷ 365) or a direct daily figure; sales growth scales it. A negative cash conversion cycle means supplier terms and fast collections fund the cycle — the requirement shows as zero with a released-buffer note. All calculations run client-side — no data leaves your browser.