Finance Collections Operational

Days Sales Outstanding (DSO)

Cross-reference

This metric is defined in RevOps Metrics. Finance lists it here as a key outcome metric.

Days Sales Outstanding (DSO): Average days to collect payment after invoicing.

Also known as: DSO

Formula

DSO = (Accounts Receivable / Revenue) × Days in period

Benchmarks

Below 30 days: Excellent
30-45 days: Good
45-60 days: Average
Above 60 days: Collection issues

Connected in the GASP relationship graph.

Downstream: what this drives

Days Sales Outstanding reduces Free Cash Flow (Finance)

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