What is DSO?
Days Sales Outstanding (DSO) measures how long it takes, on average, to collect payment after a credit sale. It is a core accounts receivable metric for understanding collection speed.
Calculate your Days Sales Outstanding (DSO) to measure how efficiently your business collects payments.
Your DSO
Enter your values and calculate to see days sales outstanding.
Days Sales Outstanding (DSO) measures how long it takes, on average, to collect payment after a credit sale. It is a core accounts receivable metric for understanding collection speed.
DSO = (Average accounts receivable ÷ Net credit sales) × Number of days. Use the same period for all three inputs—for example, annual sales, average AR, and 365 days.
Higher DSO ties up cash in unpaid invoices. Tracking DSO over time helps finance teams spot collection slowdowns early and prioritize follow-up.
Arrexia improves invoice tracking, automates payment reminders, and surfaces overdue balances so teams follow up consistently—without adding accounting complexity.
Use invoice tracking, payment reminders, and overdue visibility to improve collections.