DSO Calculator
Enter your outstanding receivables, revenue, and period. The calculator shows your DSO instantly and compares it to industry benchmarks.
What is DSO?
DSO stands for Days Sales Outstanding: the average number of days it takes to collect payment after sending an invoice. A lower DSO means faster cash flow. A higher DSO means working capital is trapped in outstanding receivables.
The DSO formula is simple: (Accounts Receivable / Net Revenue) x Number of Days. A DSO of 30 means customers pay within a month on average. A DSO of 60 means you're waiting two months.
DSO benchmarks by industry
A DSO of 45 days is a problem for wholesale, but normal for construction. Context matters.
| Industry | Average DSO |
|---|---|
| Retail / E-commerce | 5-20 days |
| Wholesale / Distribution | 30-50 days |
| Professional Services | 30-60 days |
| Manufacturing | 45-60 days |
| Healthcare | 45-70 days |
| Construction | 60-90+ days |
3 quick steps to reduce your DSO
Invoice immediately after delivery
Every day of invoicing delay adds a day to your DSO before the customer has even had a chance to pay.
Follow up systematically
Businesses that automate their receivables follow-up reduce DSO by an average of 12 days.
Call, don't just email
Phone contact has a much higher response rate than email. Combine calls with SMS follow-up for best results.
Want to reduce your DSO permanently?
Dunwise automates your entire accounts receivable follow-up. Every outstanding invoice gets called on schedule, with the right tone at the right time.