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22 tagged with "Working Capital"

Manage working capital for business operations

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The 13-Week Rolling Cash Flow Forecast: A Direct-Method Guide for Small Businesses
·mike

The 13-Week Rolling Cash Flow Forecast: A Direct-Method Guide for Small Businesses

A practical playbook for building a 13-week rolling cash flow forecast using the direct method—how to model receipts, disbursements, and weekly variance so small businesses spot liquidity gaps four to twelve weeks before they hit.

cash-flow
forecasting
small-business
financial-planning
+3
Outstanding Invoices: A Complete Guide to AR Aging and Recovery
·mike

Outstanding Invoices: A Complete Guide to AR Aging and Recovery

How to read accounts receivable aging reports, recover overdue invoices by bucket, and write off bad debt. The data shows 64% of small businesses carry invoices 90+ days past due, and recovery probability falls about 1 percentage point per additional week of inaction.

accounts-receivable
collections-management
invoicing
cash-flow
+3
AR Days Formula Explained: Calculate, Benchmark, and Improve Your Cash Flow
·mike

AR Days Formula Explained: Calculate, Benchmark, and Improve Your Cash Flow

AR Days (DSO) measures how long it takes to collect on credit sales. A practical guide to the formula, industry benchmarks from 1–5 days for retail to 70–120 days for construction, common calculation errors, and seven tactics that reduce collection time.

accounts-receivable
cash-flow
financial-ratios
working-capital
+4
Days Payable Outstanding (DPO): The Complete Guide to Measuring and Optimizing Payment Cycles
·mike

Days Payable Outstanding (DPO): The Complete Guide to Measuring and Optimizing Payment Cycles

Days Payable Outstanding measures the average number of days a company takes to pay suppliers. This guide covers the DPO formula (Average AP ÷ COGS × Days), industry benchmarks from 15 to 70 days, the 37% annualized return from 2/10 net 30 discounts, and seven strategies to optimize payment cycles without damaging vendor relationships.

accounts-payable
cash-flow
working-capital
financial-ratios
+4
Decision Drag: How Late Payments Quietly Freeze Your Business Decisions
·mike

Decision Drag: How Late Payments Quietly Freeze Your Business Decisions

Late payments impose a hidden tax on leadership, not just cash. With 70% of finance leaders reporting more late payments in 2026 and an average $39,406 annual cost, unpredictable receivables quietly reshape hiring, pricing, and tool decisions. This guide explains decision drag and the AR practices (Net 30 terms, weekly DSO review, automated reminders) that eliminate it.

accounts-receivable
cash-flow
small-business
payments
+4
How to Reduce Days Sales Outstanding (DSO): A Practical Cash Flow Playbook
·mike

How to Reduce Days Sales Outstanding (DSO): A Practical Cash Flow Playbook

A field-tested playbook for reducing Days Sales Outstanding (DSO), with industry benchmarks, the ten tactics that move the metric most, and a four-week sprint that typically shaves 5–15 days off collection cycles.

cash-flow
accounts-receivable
small-business
invoicing
+3
Days Sales Outstanding (DSO): A Practical Guide to Faster Collections
·mike

Days Sales Outstanding (DSO): A Practical Guide to Faster Collections

Days Sales Outstanding measures the average days it takes to collect on credit sales. This guide covers the DSO formula, 2026 industry benchmarks from 7 to 90 days, and concrete tactics to shorten the cash collection cycle.

cash-flow
accounts-receivable
financial-ratios
working-capital
+4
The DSO Formula: How to Measure (and Fix) the Gap Between Sales and Cash
·mike

The DSO Formula: How to Measure (and Fix) the Gap Between Sales and Cash

Days Sales Outstanding measures the average days between a credit sale and cash collected. This guide covers the DSO formula, industry benchmarks (30-45 days is typical, single digits for e-commerce, 60-90 for construction), common miscalculations, and seven practical levers to lower it.

accounts-receivable
cash-flow
financial-ratios
working-capital
+4
Profitable But Broke: Why Businesses Run Out of Cash
·mike

Profitable But Broke: Why Businesses Run Out of Cash

A profitable P&L and an empty bank account are not a contradiction—they are a timing problem. A breakdown of the five silent cash drains (AR, inventory, loan principal, capex, owner draws) and how a 13-week forecast reveals them before they sink the business.

cash-flow
small-business
accrual-accounting
forecasting
+4
Are Merchant Cash Advances Worth It? A Beancount Perspective
·mike

Are Merchant Cash Advances Worth It? A Beancount Perspective

Merchant cash advances promise fast funding but often hide triple-digit APRs. Learn how to model the true cost, spot warning signs, and use Beancount to find smarter financing alternatives.

merchant-cash-advance
working-capital
cash-flow
financing
+2
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