Tools · Deal structure

Working Capital Calculator

Calculate your net working capital, cash conversion cycle, and an indicative working-capital peg for your SME sale in one minute. Uses DSO / DIO / DPO from your accounting. Free, no signup.

Your numbers

Annual revenue (€)

Last 12 months of revenue.

DSO (days)

Days Sales Outstanding: average days until customers pay.

DIO (days)

Days Inventory Outstanding: average inventory holding.

DPO (days)

Days Payable Outstanding: average days until you pay suppliers.

Net working capital

Cash-conversion-cycle

Indicative SPA peg

In ~90% of Benelux SME share deals the peg is the 12-month average NWC. Use this number as a starting point; for the final SPA peg, compute a 12-month trailing average from your accounting.

Want this baked into your full valuation?

Upswitch syncs or imports DSO/DIO/DPO from Yuki, Exact, Silverfin, Octopus, Expert/M, WinBooks, Horus, and Wings, then weaves the working-capital peg into your sale-grade dossier.

Run a full Upswitch valuation Glossary: working-capital peg

Embed this tool

Drop the snippet on your accountant blog, client portal, or any page where SME owners might land. Free, no registration required.

<iframe src="https://www.upswitch.app/en/embed/tools/working-capital-calculator" width="100%" height="720" style="border:0" loading="lazy" title="Working Capital Calculator"></iframe>

How to use it

Enter annual revenue and three turnover days: DSO (Days Sales Outstanding: average days until customers pay), DIO (Days Inventory Outstanding: average inventory holding), and DPO (Days Payable Outstanding: average days until you pay suppliers). The calculator surfaces your net working capital, the cash conversion cycle in days, and NWC as percent of revenue: three numbers that surface in every Benelux SME SPA as the working-capital peg.

Formula

NWC = (DSO + DIO − DPO) / 365 × Revenue · Cash-Cycle = DSO + DIO − DPO

Frequently asked

Where do I find DSO, DIO, and DPO in my accounting?: DSO = (Receivables / Revenue) × 365: usually on your receivables ageing report. DIO = (Inventory / COGS) × 365: from inventory and COGS reports. DPO = (Payables / COGS) × 365: from payables ageing. Yuki, Exact, and Silverfin typically expose these in their cash-management dashboards.
What's a healthy cash-conversion-cycle for an SME?: Strongly sector-dependent. Service businesses often run short (10-30 days) or even negative cycles. Distribution and wholesale typically 30-60 days. Manufacturing 60-120 days. Beyond 120 days working capital becomes your largest financing line.
How does this drive my working-capital peg in an SPA?: In around 90% of Benelux SME share deals the peg is set as the 12-month average NWC. This calculator gives a quick point-in-time figure: for the final peg use a 12-month trailing average from your accounting.
What if my cash-conversion-cycle is negative?: Excellent news for your business model: you effectively let customers finance your suppliers. SaaS with annual subscriptions, fast retailers, and some service models achieve this. In M&A it translates to above-average sector multiples.

Go deeper

Glossary: WORKING-CAPITAL-PEG

Embed this tool

Drop the snippet on your accountant blog, client portal, or any page where SME owners might land. Free, no registration required.

<iframe src="https://www.upswitch.app/en/embed/tools/working-capital-calculator" width="100%" height="720" style="border:0" loading="lazy" title="Working Capital Calculator"></iframe>

How to use it

Formula

NWC = (DSO + DIO − DPO) / 365 × Revenue · Cash-Cycle = DSO + DIO − DPO

Frequently asked

Where do I find DSO, DIO, and DPO in my accounting?

DSO = (Receivables / Revenue) × 365: usually on your receivables ageing report. DIO = (Inventory / COGS) × 365: from inventory and COGS reports. DPO = (Payables / COGS) × 365: from payables ageing. Yuki, Exact, and Silverfin typically expose these in their cash-management dashboards.

What's a healthy cash-conversion-cycle for an SME?

Strongly sector-dependent. Service businesses often run short (10-30 days) or even negative cycles. Distribution and wholesale typically 30-60 days. Manufacturing 60-120 days. Beyond 120 days working capital becomes your largest financing line.

How does this drive my working-capital peg in an SPA?

In around 90% of Benelux SME share deals the peg is set as the 12-month average NWC. This calculator gives a quick point-in-time figure: for the final peg use a 12-month trailing average from your accounting.

What if my cash-conversion-cycle is negative?

Excellent news for your business model: you effectively let customers finance your suppliers. SaaS with annual subscriptions, fast retailers, and some service models achieve this. In M&A it translates to above-average sector multiples.