Sigma Tech India · Banking
Working capital, turned into days.
Inventory days, debtor days, creditor days. Operating cycle and cash conversion cycle. The four numbers a credit officer needs to size working-capital finance — companion to the CMA tool.
01 Annual Figures
From the borrower's audited financials.
Annual Sales (Turnover)
₹
Annual COGS / Purchases
₹
Average InventoryRM + WIP + FG
₹
Average Debtors (Receivables)
₹
Average Creditors (Payables)
₹
Borrower / Firmprints on PDF · optional
02 Cycle Days
Operating Cycle = Inv + Debtor. CCC = Operating − Creditor.
Cash Conversion Cycle
0
days · cash locked
Operating Cycle
0
days · inv + debtor
Working Capital Need
₹0
Daily × CCC
Component days
ParticularsDaysNote
Inventory Holding—Inv ÷ COGS × 365
Receivable / Debtor—Debt ÷ Sales × 365
Operating Cycle—Inv + Debtor days
Payable / Creditor—Cred ÷ Purchases × 365
Cash Conversion Cycle—Op Cycle − Creditor
A shorter CCC means faster cash recovery — and lower working-capital finance need. — sigmatechind.com