eyko Ideas
A stress test is only useful if it names the binding constraint and the week it bites. A Liquidity Stress Testing Playbook reads the cash position, receivables, payables, and committed facilities from your ERP and bank feeds, models adverse scenarios, and surfaces which constraint breaks first with the week it happens attached.
The Challenge
A liquidity stress test is assembled by hand for the board pack, then set aside. By the time a downside actually develops, the model is months stale and the scenario that matters was never the one that was run.
A spreadsheet can show the position turns negative under a revenue shock. It cannot tell you the binding constraint is a receivables stretch colliding with a fixed debt service payment, so there is nothing specific to pre-empt.
The position, the facilities, and the receivables behind any scenario move continuously. A stress test run once a year is out of date long before the stress arrives, and the window to negotiate headroom from strength has usually closed.
How eyko Solves It
A Liquidity Stress Testing Playbook connects to your ERP, bank feeds, AR, AP, and committed facilities, models adverse scenarios against the live position on a regular beat, and surfaces the week liquidity breaches the minimum under each scenario with the binding constraint ranked behind it.
Under the severe but plausible scenario, a 20% revenue drop held for one quarter with DSO extending 15 days, group liquidity breaches the minimum in week 9, four weeks earlier than the moderate case. The base case holds past the 26-week horizon.
| Metric | Current | Benchmark | Status |
|---|---|---|---|
| Primary indicator | Flagged | Target | Action needed |
| Secondary indicator | Monitoring | Within range | On track |
| Trend direction | Declining | Stable | Review required |
Liquidity stress testing models the cash position against adverse scenarios to find when it breaks. The Playbook reads the live position, receivables, payables, and committed facilities from your ERP and bank feeds, then runs moderate, severe, and combined shocks on a regular beat, so treasury sees the week liquidity breaches the minimum under each path rather than a single annual snapshot.
This is decision intelligence in practice: the what, the why, and the what next from your live data.
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View IdeaFAQ
Everything you need to know about Liquidity Stress Testing.
Liquidity stress testing models the cash position against adverse scenarios to find when and why it breaks. eyko reads the live position, receivables, payables, and committed facilities from your ERP and bank feeds, runs moderate, severe, and combined shocks, and surfaces the week liquidity breaches the minimum under each path with the binding constraint attached.
An annual spreadsheet test is stale long before a downside arrives and shows the breach without the cause. The Playbook refreshes on a regular beat against the live position, names the binding constraint such as a receivables stretch colliding with fixed debt service, and recommends the headroom to secure before the path materializes.
It reads from your ERP general ledger, AR and AP, your bank feeds, and your committed facility data, alongside any data platform you already run. There is no separate data project to start, and it works with systems such as SAP, Oracle, NetSuite, and Workday.
Once connected, the Playbook returns the breach week and binding constraint for each scenario on its next beat, in minutes rather than the days a manual build usually takes, then refreshes as the position and facilities change so the test stays current.
Join the enterprises replacing weeks of manual analysis with a single prompt. See what eyko Playbooks can do with your data.
