domains / families / business / credit-cycle-analysis
credit-cycle-analysis
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Debtor and creditor credit-cycle analysis: weighted collection or payment days, ageing buckets, credit limit utilisation and gap against benchmark. Use for working-capital review.
When to use
- debtor collection analysis
- creditor payment analysis
- receivables aging and payables aging
- average collection period or average payment period
- customer payment behaviour and supplier payment behaviour
- working-capital cycle review
- converting an existing credit-cycle spreadsheet or process
When not to use
- Empty templates only. It does not calculate collection periods, chase anyone, set a credit limit
- It measures the gap; it does not close it and it does not judge it. Whether a positive gap is
- A cycle measured from a ledger is only as good as the ledger. Reconcile the party balances
- Overdue amounts depend on due dates being recorded against every invoice. Where they are not,
- `Estimated Working-Capital Funding` is an estimate on a stated basis, not a cash-flow forecast.
- Averages hide concentration. A party-period row is not evidence about how the total is
- `Data Quality Status` is a judgement the module cannot make for you. It records the checks that
- Notion relations need both databases imported before a link column resolves; this module has no
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