# What is dso?

Source: https://launch-rec.com/glossary/dso. Category: Funding. Market: US and UK.

Also called: days sales outstanding.

## Definition

Days sales outstanding: the average number of days between invoicing a client and being paid. Every extra day is cash you have to fund.

## In practice

Contract staffing typically sees 35 to 60 day DSO depending on sector. Healthcare systems and large enterprises sit at the slow end; SMEs and tech scale-ups are usually faster.

DSO is partly operational. Late timesheets, wrong PO numbers and missed billing portals add days that no funder will absorb for free.

## Related terms

- https://launch-rec.com/glossary/cash-conversion-cycle
- https://launch-rec.com/glossary/working-capital
- https://launch-rec.com/glossary/bad-debt
