DSO Calculator
Days Sales Outstanding tells you how many days it actually takes to collect payment after a sale. Enter your numbers below — the calculation happens instantly in your browser, nothing is sent anywhere.
Enter Your Numbers
📊
Enter your numbers and click Calculate to see your DSO.
What Is DSO and Why It Matters
Days Sales Outstanding (DSO) measures the average number of days it takes your business to collect payment after a sale is made. It's calculated as:
DSO = (Accounts Receivable ÷ Total Credit Sales) × Number of Days
A rising DSO is one of the earliest warning signs of a collections problem — often visible weeks before it shows up anywhere else in your financials. Lowering DSO by even 10 days frees up roughly a third of a month's revenue in cash, without changing your business model at all.
What's a Good DSO?
| Business Type | Healthy DSO Range |
|---|---|
| D2C / Retail (mostly card payments) | Near 0-15 days |
| Services / Consulting (Net 30 terms) | 30-45 days |
| B2B Enterprise | 45-60 days |
The real target is always to match or beat your stated payment terms — if you invoice Net 30 and your DSO is 55, that gap is where your collections process is leaking cash.
Want the full breakdown, including how to actually reduce your DSO? Read our complete guide to reducing DSO.
Collections eating up too much of your time?
We build and run AR systems that keep DSO low — without you having to chase a single invoice.
Book a Free Consultation