On this pageCommand 13-Wk Forecast Cash Conversion Working Capital Receivables Liquidity & Leverage Toolkit

Cash 360

The treasury cockpit — 13-week cash, EBITDA-to-FCF conversion, working-capital unlock (DSO + bespoke WIP), receivables, liquidity and conservative leverage headroom.

The Stark Group · FY26 (modeled)

Luxury to-the-trade — designers & architects only (no retail)

670 employees · 12+ US sites · 8 countries

▲ Executive read· the answer, then the moves

Liquidity is sound at £38m (≈ 11 weeks cover) and leverage is conservative at 0.5×, but £3.2m of working capital is trapped in receivables and bespoke WIP — pull DSO from 55d to 48d to self-fund the next acquisition or showroom from cash rather than lean on debt.

5 of 5 headline metrics improving vs prior · still off target: Free Cash Flow £14m vs £18m, Cash Conversion Cycle 94d vs 80d, DSO (Days Sales Outstanding) 55d vs 48d

Do now — ranked by urgency

1
Unlock £3.2m by pulling DSO to the 48d targetWatch
Why it matters
Every day of DSO above 48d ties up working capital in trade accounts and long bespoke lead times; closing the gap releases ≈ £3.2m of one-time cash.
What's driving it
DSO 55d vs 48d target
Overdue >60d = £4.5m of £25m AR
FYI
Normalizing laggard houses to 50d DSO releases ≈ £2.1m
Owner: Treasury
Work the overdue book →▤ open the overdue receivables
2
3 hospitality accounts running DSO > 60 daysWatch
Why it matters
Targeted collections on £0.9m; tighten deposit/milestone terms on long hospitality projects.
What's driving it
DSO
Signal: Alert
FYI
Rosewood (62d), Mandarin Oriental (59d), embassy/institutional (64d) lifting blended DSO to 55d.
Act →▤ open the overdue book
3
Silk / fine-wool input costs firmingWatch
Why it matters
Lock forward fibre where possible; reprice bespoke quotes for the new cost band.
What's driving it
Gross Margin
Signal: Alert
FYI
Fibre prices up; risk to Custom Rugs gross margin if not passed through.
Act →
4
Digital-to-trade platform — PlannedWatch
Why it matters
Unbanked EBITDA until captured.
What's driving it
£0.8m run-rate targeted
Signal: Integration savings
FYI
E-commerce-to-trade & designer self-service ordering.
Owner: CFO
Act →

💠 Value & stewardshipStep 5 of 7 · cash conversion & modest leverage◀ Finance 360 Brands & Houses 360 ▶All journeys

🌐 Enterprise 360 modules· on Cash 360Browse all 31 views ▾

✅ Todayyour decision queue 📨 Activity & Digestaudit trail · @mentions 🧭 360 Directoryall views by persona 🗺 Guided Journeyspersona flows · step-by-step 🛰 Control Towercommand center 🎯 Strategy & Goals4 pillars · OKRs 💎 Value Creation Planstewardship · enterprise value 🤖 AI Agentsrecommend & act 🌐 Enterprise 360the consolidated pane 📈 Sales / Pipeline 360funnel · forecast 🛰 Market Intel & M&Asignals · targets 🏛 Company Hierarchyorg · brands · entities 🗂 Org Roll-up 360region · brand · office 📍 Showroom / Atelier 360showroom twin · health · orders 👥 Customer 360accounts · cross-sell 🧩 Customer Mastergolden record · MDM 🧾 Quote / Specification 360federated quoting & pricing 🔄 Quote-to-Cash 360order-to-cash cycle 🔁 Account / Program 360repeat-designer · re-orders 🔧 Project / Job 360craft delivery · job margin 👷 Workforce 360showrooms & ateliers · utilization 🏷 Brand / M&A 360roll-up · integration 🧩 Integration 360PMO · workstreams · 90-day 🤝 M&A Deal 360pipeline · diligence · return 🚪 Value Creation / Stewardshipdebt · QoE · equity bridge 🚚 Supplier 360spend · terms · risk 💰 Finance 360P&L · cohorts 💵 Cash 360DSO · AR · treasury 🧬 Ontology & Meshlogical layer · data products ▤ Evidencedrill-to-record · export 🩺 Data Healthfreshness · lineage

↗ Where this connects — act / drill across

▤Evidence· open the overdue-invoice list 🧩Customer Master· term conflicts driving AR 👥Customer 360· DSO by account 🚪Value Creation / Stewardship· debt & leverage path

Liquidity

£38m

≈ 11 weeks cover

Free cash flow

£14m

47% EBITDA conversion

Cash conversion cycle

94d

DSO 55 + DIO 18 − DPO 46

Working-capital unlock

£3.2m

DSO 55→48d target

Exhibit 1

13-week direct cash flow forecast

Net weekly cash (bars) and ending cash (line) vs. £6m minimum. Forecast trough: £11.3m.

Above minimum

£12m

Opening cash

£47m

13-wk collections

£46m

13-wk disbursements

£13.2m

Closing cash

Exhibit 2

EBITDA → Free cash flow

£30m EBITDA converts to £14m FCF (47%).

Exhibit 3

Cash collected

Monthly, £m.

Cash conversion cycle

Working-capital days

DSO — receivables55d

DIO — inventory18d

DPO — payables (offset)(46d)

Cash conversion cycle94d

Where cash is trapped

Working-capital cash unlock

£2.1m

Normalizing laggard houses to 50-day DSO releases ~£2.1m one-time.

Scalamandré / House of Scalamandré57d

£0.6m

Stark Carpet (flagship, 1938)53d

£0.4m

Old World Weavers55d

£0.3m

Stark Studio Rugs54d

£0.3m

Fort Street Studio62d

£0.2m

Hinson & Grey Watkins58d

£0.2m

Ashley Stark Home56d

£0.1m

Collections

AR aging

Total AR £25m

Current days£11.5m

1-30 days£6.2m

31-60 days£3.1m

61-90 days£2.6m

90+ days£1.9m

Overdue (>60d) = £4.5m.

Exhibit 4

Collections priority

Highest DSO first.

Account	Revenue	DSO	Credit risk
Embassy / institutional (representative)	£1.3m	64d	Medium
Rosewood Hotels (representative)	£2.2m	62d	Medium
Aman Resorts (representative)	£2.6m	60d	Low
Mandarin Oriental (representative)	£2m	59d	Medium
Four Seasons (representative)	£4m	58d	Medium
Yacht & aviation outfitters (representative)	£1.8m	57d	Low
Studio Sofield (representative)	£3.4m	55d	Low

Exhibit 5

Supplier DPO

Working-capital lever.

Supplier	Spend	DPO	OTIF	Risk
NZ / merino wool growers	£14m	48d	94%	Low
Hand-knotting ateliers (India / Nepal / Thailand)	£12m	50d	86%	Medium
European fabric mills (Italy / France)	£11m	46d	93%	Low
Silk filament suppliers (China/India)	£9m	45d	90%	Medium
Dye houses & finishing	£5m	42d	88%	Medium
Tanneries (hides & leather)	£4m	44d	91%	Low