Cash Conversion Cycle
Working Capital / base / 1 to 3 months
What it detects
The overall time from spending cash on delivery to collecting it from clients is lengthening.
Why it matters
The cash conversion cycle is how long your money is tied up between paying to deliver work and collecting for it from clients. The longer that stretch, the more of your cash is locked up in work you have already delivered but have not been paid for, so a business can look profitable on paper while running short on the cash it needs to operate. Watching this tells you whether the timing of how you collect and how you pay is quietly draining working capital, and it turns early, before a cash squeeze forces a scramble.
Severity levels
- MEDIUM
- HIGH
Thresholds
Exact thresholds, formulas, and severity bands are omitted from this public view. The full methodology, with every figure, is available in the authenticated app.
How it connects
At current trajectory, working capital requirements grow with revenue. Scaling without improving collections accelerates cash consumption.
Sources
SEE IT ON REAL NUMBERS
The exact thresholds, the formula, and your own figures are in the authenticated app. See it against a real, simulated dataset for Integra Executive Services, our public demo company, or connect your own QuickBooks Online account.