{
  "slug": "cash-conversion-cycle",
  "title": "Cash Conversion Cycle Calculator",
  "heading": "Cash Conversion Cycle Calculator",
  "category": "financial",
  "url": "https://www.revenuelab.fyi/toolbox/cash-conversion-cycle",
  "summary": "Days between paying suppliers and getting paid.",
  "description": "The cash conversion cycle is the single best measure of working-capital pressure. Negative is great — customers fund your operations.",
  "formula": "CCC = DIO + DSO − DPO",
  "dateModified": "2026-09-30",
  "run_url": "https://www.revenuelab.fyi/api/public/calc?tool=cash-conversion-cycle",
  "inputs": [
    {
      "id": "dio",
      "label": "Days inventory outstanding",
      "kind": "number",
      "hint": null,
      "default": 45,
      "unit": null,
      "min": 0,
      "max": null
    },
    {
      "id": "dso",
      "label": "Days sales outstanding",
      "kind": "number",
      "hint": null,
      "default": 38,
      "unit": null,
      "min": 0,
      "max": null
    },
    {
      "id": "dpo",
      "label": "Days payables outstanding",
      "kind": "number",
      "hint": null,
      "default": 30,
      "unit": null,
      "min": 0,
      "max": null
    },
    {
      "id": "revenue",
      "label": "Annual revenue",
      "kind": "number",
      "hint": null,
      "default": 2000000,
      "unit": "$",
      "min": 0,
      "max": null
    }
  ],
  "outputs": [
    {
      "id": "ccc",
      "label": "Cash conversion cycle (days)",
      "format": "decimal",
      "hint": null,
      "primary": true
    },
    {
      "id": "working",
      "label": "Working capital required",
      "format": "currency",
      "hint": null,
      "primary": false
    },
    {
      "id": "verdict",
      "label": "Assessment",
      "format": "raw",
      "hint": null,
      "primary": false
    },
    {
      "id": "daily",
      "label": "Revenue per day",
      "format": "currency",
      "hint": null,
      "primary": false
    }
  ],
  "worked_example": {
    "inputs": [
      "Days inventory outstanding: 45",
      "Days sales outstanding: 38",
      "Days payables outstanding: 30",
      "Annual revenue: 2000000 $"
    ],
    "outputs": [
      "Cash conversion cycle (days): 53",
      "Working capital required: $290,411",
      "Assessment: Working capital is tight",
      "Revenue per day: $5,479"
    ]
  },
  "how_to": {
    "title": "How to use this",
    "steps": [
      "Enter days inventory outstanding.",
      "Enter days sales outstanding.",
      "Enter days payables outstanding.",
      "Enter annual revenue ($).",
      "Read your cash conversion cycle (days) on the right — it updates as you type.",
      "Hit Share to keep the scenario or send it to someone."
    ]
  },
  "scenarios": [
    {
      "name": "Conservative",
      "description": "Lower-end numbers — what if things land soft?",
      "values": {
        "dio": 27,
        "dso": 23,
        "dpo": 18,
        "revenue": 1200000
      }
    },
    {
      "name": "Typical",
      "description": "Defaults — the most common real-world setup.",
      "values": {
        "dio": 45,
        "dso": 38,
        "dpo": 30,
        "revenue": 2000000
      }
    },
    {
      "name": "Ambitious",
      "description": "Higher-end numbers — what if things really pop?",
      "values": {
        "dio": 72,
        "dso": 61,
        "dpo": 48,
        "revenue": 3200000
      }
    }
  ],
  "limitations": [
    "Results are estimates before tax, fees, and inflation unless an input explicitly covers them.",
    "Rates are treated as fixed for the whole period — variable-rate products will drift from this projection.",
    "This is educational maths, not financial advice. Check anything contractual with the lender or your accountant."
  ],
  "faq": [
    {
      "q": "How does the cash conversion cycle calculator work?",
      "a": "The cash conversion cycle is the single best measure of working-capital pressure. Negative is great — customers fund your operations. The underlying maths is: CCC = DIO + DSO − DPO"
    },
    {
      "q": "What do I need to enter?",
      "a": "4 values: days inventory outstanding, days sales outstanding, days payables outstanding, and annual revenue. Each field starts with a sensible default, so you can change one number at a time and watch the result move."
    },
    {
      "q": "What does the cash conversion cycle (days) result mean?",
      "a": "It is returned as a decimal number and updates live as you edit the inputs, so you can compare two or three versions of a scenario in a few seconds."
    },
    {
      "q": "Is this calculator free, and do I need an account?",
      "a": "Yes, it's free, and no account is required. Nothing you type is stored on our servers — the maths runs entirely in your browser."
    },
    {
      "q": "How accurate is the result?",
      "a": "It applies the standard formula exactly, so the arithmetic is precise. Results are estimates before tax, fees, and inflation unless an input explicitly covers them."
    },
    {
      "q": "Who is this tool for?",
      "a": "It's built for anyone comparing money scenarios before committing — budgeting a payment, sanity-checking a quote, or seeing what a change in rate or term actually costs."
    }
  ],
  "related": [],
  "license": "CC-BY-4.0",
  "citation": "RevenueLab — Cash Conversion Cycle Calculator (https://www.revenuelab.fyi/toolbox/cash-conversion-cycle)"
}