Working Capital Stabilization
The problem is not the forecast. It is the commitment.
Why Working Capital Tightens While Revenue Grows
Purchase decisions that are not gated against demand and liquidity thresholds keep accumulating capital in the wrong inventory regardless of forecast accuracy.
The issue is not the forecast. It is the absence of control between the forecast and the buy.
Where the Capital Is Tied Up
Capital spread at the buy.
High-performing SKUs are underfunded while low-velocity SKUs absorb capital.
Commitment moving without thresholds.
Purchase orders release based on lead times, MOQs, and buying rhythm without being evaluated against current demand and liquidity tolerance.
Expansion without governance.
New SKUs, channels, and categories are funded before demand is validated. Capital deploys ahead of the signal.
These are sequencing failures.
not forecasting failures.
Is Your Commitment Architecture the Problem?
Download the free diagnostic.
Seven signals that indicate your inventory commitment process is destroying working capital.
When Capital Events Are on the Horizon
When a raise, refinancing, covenant review, or exit is approaching, inventory becomes a material line item in every conversation with lenders, investors, and acquirers.
RiverHouse installs the structural control that makes the inventory narrative defensible before the event arrives.