Aggregated, anonymized financial benchmarks from small businesses ($1M–$25M revenue) that connect QuickBooks to The Pro CFO app. No individual business is identifiable.
Medians used throughout, so outliers don't skew the numbers.
The Business Health Score is a 0–100 composite of cash flow, profitability, and efficiency, computed per company and aggregated as the median across all reporting businesses each month.
The median Business Health Score for Q1 was 71.5, level with Q4 2025 and tied for the highest quarterly reading since tracking began in mid-2025. Steady cash and better margins both helped.
Median gross margin rose to 43.5% from 35.7% in Q4, and median net margin moved to 3.7% from roughly breakeven. Year-end quarters often carry one-time costs and adjustments, so a cleaner first quarter is a welcome sign rather than a surprise.
The median business held 107 days of cash on hand, unchanged from Q4. Median AR days fell to 7.1, the quickest of any quarter tracked and a fraction of the 30–45 day collection cycles common among small businesses.
Data covers small businesses ($1M–$25M annualized revenue) with QuickBooks Online connected to The Pro CFO app and completed monthly accounting closes. All metrics are computed per company each month and aggregated as medians; each quarterly figure is the median of the quarter's three monthly medians, so one unusual month can't drive the result — individual businesses are never identifiable. The Business Health Score is a 0–100 composite: 40% cash flow, 35% profitability, 25% efficiency, with frozen thresholds across editions. Figures may be revised as additional closes sync.
Citing this report: free to cite with attribution and a link to this page.
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