pawineguy
One Too Many
- Messages
- 1,974
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- Bucks County, PA
Just another detail from Aero accountancy evidence. When it came to collecting cash owed to Aero, it went from 6.02 days in 2005, when sales were £610k to 24 days in 2011, when sales were £880k. At the same time, the length of time it took Aero to pay its creditors also rose, from 2.6 days in 2005 up to 35 days by 2011. This was seen as quite unusual.
That's a pretty dramatic cash flow swing. To be fair, the numbers in 2005 are incredibly short, but every industry has its own standards.