Cash‑conversion thread revived

Proinvest Nirmiti republished a multi‑post thread on X that rekindled the industry discussion comparing Cash Conversion Cycle (CCC) with Days‑Working‑Capital metrics and their use for short‑term funding assessment. (x.com) The CCC is calculated as Days Inventory Outstanding + Days Sales Outstanding − Days Payable Outstanding (DIO + DSO − DPO), while Days Working Capital (DWC) measures the time to convert working capital into revenue using average working capital over sales. (wallstreetprep.com) Equipment finance lenders cite lease and loan structures as a way for lessees to preserve cash and reduce working‑capital draws, making CCC improvements a driver of origination demand for short‑term equipment lines. (jpmorgan.com) Rosenthal & Rosenthal implemented Solifi’s equipment finance portfolio management solution and went live after an accelerated conversion project targeted at eight weeks, illustrating vendor technology enabling faster product expansion into equipment finance. (solifi.com) U.S. franchised dealers entered 2026 with roughly a 76‑day new‑vehicle supply, a swing that increases reliance on floorplan finance when days‑to‑turn widens and compresses dealer liquidity. (coxautoinc.com) Floorplan lenders have been selectively expanding or repricing lines as dealer inventory sat longer in 2025, prompting lenders to revise audit, advance‑rate and curtailment practices to protect exposure. (autofinancenews.net) Centennial Bank selected Solifi’s CALMS Compass floorplan platform to standardize end‑to‑end floorplan operations and launched the solution in under four months, showing a vendor case where automation shortened operational friction in inventory‑backed lending. (solifi.com) Regulatory guidance flags floorplan lending as a concentration and operational risk area, with the OCC handbook outlining examination procedures for dealer‑inventory financing that banks must follow. (occ.treas.gov) Federal Reserve Small Business Credit Survey data shows meeting operating expenses remained the top reason small firms sought credit in 2025, supporting increased working‑capital loan demand tied to receivables and inventory timing. (fedcommunities.org) Platform lenders and commerce ecosystems reported growing SMB working‑capital balances through 2025, accelerating demand for fast approval and data‑driven underwriting that links receivables aging and inventory turns to credit sizing. (pymnts.com) Solifi’s product set consolidation—bringing Leasepath and DataScan into the platform—matches the market shift toward integrated origination, portfolio and floorplan tooling that surfaces CCC and DWC signals for underwriting and portfolio monitoring. (solifi.com) Large auto lenders such as Wells Fargo and Ally have publicized dealer floorplan program changes and dealer benefits in response to inventory and interest‑rate dynamics, reflecting competitor adjustments lenders should model when pricing inventory‑backed lines. (autofinancenews.net)