Transaction Services – FDD Working Capital Analysis Model

All Industries, General Excel Financial Models

Accounts Payable, Accounts Receivable, Excel, Financial Analysis, Financial Debt, Financial Due Diligence, Financial Model, Financial Modeling, Financial modelling, Financial Projections, Financial Ratios, Financial Reporting, Forecasting, Income Statement, KPIs (Key Performance Indicators), Report

Purpose of the tool
This Excel-based Working Capital Analysis Model provides a structured, transparent view of Net Working Capital (NWC) and its key drivers over time. It separates Operating Working Capital (OWC) from Net Debt (ND), allowing you to clearly identify which balance sheet items are operational vs. financing-related and how they impact cash tied up in the business.

The model consolidates inventories, trade receivables, trade payables and other current assets/liabilities into a consistent framework, including detailed aging analyses for receivables and payables, KPI calculation (DIO, DSO, DPO, CCC) and seasonality views. This helps you understand not only the level of Working Capital, but also its quality, efficiency and sustainability.

The tool is particularly useful for Transaction Services, financial due diligence and factbook preparation, but can also be applied in ongoing cash management, performance reviews and internal reporting where visibility on Working Capital and its development is critical.

Key Outputs

Net Working Capital by component (inventories, trade receivables, trade payables, other current assets & liabilities)
Clear split of accounts into Operating Working Capital vs. Net Debt / non-operating items
Pro-forma and monthly adjusted NWC (e.g. carve-outs, restatements, analytical reclassifications)
Working Capital KPIs: DIO, DSO, DPO, Cash Conversion Cycle (CCC) and NWC as % of sales / material expenses
Trade receivables and trade payables aging schedules, including overdue buckets and visualisations
Seasonality and trend views for key Working Capital components and total NWC

Key Inputs & Assumptions

Trial balance / balance sheet data, preferably at account level and by period
Mapping of accounts to Working Capital categories and OWC vs. Net Debt via simple dropdowns
Optional pro-forma and monthly adjustment entries to reflect structural or analytical changes
Sales and material expense data for KPI calculation

How to use

Set core parameters (time horizon, reporting currency, basic options) in the Assumptions sheet.
Load balance sheet / trial balance data into the lead and Working Capital mapping tabs and classify accounts as OWC or Net Debt.
Enter any pro-forma or monthly adjustments (where relevant) and review the overview, KPI, aging and seasonality tabs to analyse Working Capital level, structure and efficiency.

Customization & support
The model is highly customisable – you can easily adapt categories, thresholds, labels, KPIs and charts to your specific chart of accounts, industry or reporting standards. For more complex customisations or individual requirements (e.g. firm-specific versions, integration into broader workbooks or additional analysis modules), feel free to reach out and we can discuss a tailored solution.

Each download includes both a fully blank “Clean Template” for working directly with your own data and a pre-populated Example Template that illustrates the model’s logic and calculations using realistic sample data.

If you want to cover the full analysis scope – from Earnings/QoE and Working Capital to Net Debt plus Sales and customer analytics – you may also want to have a look at the “Transaction Services All-in-One Financial Analysis Workbook.”

The screenshots provide a good first impression of the model, but they do not fully capture all functionalities and details—if you have any questions or would like to better understand specific features, feel free to reach out anytime.

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