# Cycle time

A term used when buying restoration.

Days from the first call to a paid invoice, which on insurance work runs long.

The crew and the equipment are paid weeks before the carrier settles, so cycle time is the whole [working-capital](https://searchspheresource.com/glossary/working-capital) question in this trade: a business doubling its revenue on ninety-day cycles needs cash it does not have. It also degrades quietly, because a slipping cycle looks like growth on a revenue line. Ask for days-to-payment by carrier for two years and read the trend by name, since one slow payer usually explains most of it.

Part of: Buying a Restoration Business (https://searchspheresource.com/guides/buying-a-restoration-business)

Source: https://searchspheresource.com/guides/buying-a-restoration-business/terms/cycle-time
Not dated: The same editorial definitions as the glossary, inside a trade.

Site index for machines: https://searchspheresource.com/llms.txt
