How Payment Timing Gaps Drain Small Business Cash Flow

Cash Flow Conversations with Fexingo: Working Capital, Receivables, and Small Business Finance · Jun 6, 2026 · 8m · transcript

Episode 34 of Cash Flow Conversations with Fexingo tackles the hidden cash drain created by payment timing gaps — the lag between when you pay suppliers and when customers pay you. Lucas and Luna walk through a concrete example: a boutique bakery that pays its flour mill on net-30 terms but waits 45-60 days for restaurant clients to settle invoices. They calculate the real dollar cost of that 15-30 day gap using a simple formula, discuss why net-30 terms often favor the buyer over the small seller, and explore practical fixes like aligning payment cycles and negotiating midpoint terms. No…