Stock Days – Don’t Let Your Cash Get Stuck on the Shelf!
Managing stock isn’t just about tidy shelves—it’s about protecting your cash flow.
Every unsold item sitting in storage = cash you can’t use elsewhere in the business. Want to unlock that cash and boost financial agility? Here’s how:
Start by tracking Stock Days
How long does stock sit before it sells?
The longer it stays, the more cash gets tied up. Regular reviews help you spot red flags early—rising stock levels, slow movers, and missed opportunities.
👉 Set improvement targets.
👉 Give someone ownership to drive progress.
Know what’s moving—and what’s not
- Do you really need to carry slow-sellers?
- Can you reorder fast enough to carry less?
- Bulk-buy discounts might look good, but they can lock up precious cash and leave you with dead stock.
Think “Just in Time” where possible. Smart ordering beats over-ordering every time.
Convert stock back into cash
Got slow-moving stock? Act fast:
✔️ Bundle it with best-sellers
✔️ Offer promos or discounts—better to move it than sit on it
✔️ Sell in bulk to wholesalers
✔️ Return to suppliers for credit if possible
Reimagine how you work with customers
- Is “ex-stock” delivery really necessary?
- Could customers hold their own buffer stock?
- Would a deposit scheme work for slow movers?
- Could drop shipping eliminate the need to hold stock at all?
Don’t forget the cash flow impact
Make stock management a monthly conversation, not an annual panic. Track how stock affects cash flow, not just what’s on hand.
Quick Wins for Improving Stock Turns:
- Review Stock Days regularly
- Identify slow movers
- Free up cash fast
- Rethink customer logistics
- Track stock’s impact on cash flow
💬 Are you actively managing your stock—or is it quietly draining your business?
If you need some help, book a meeting or contact us.
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