Blog

Top tools in managing a growing Supply Chain
18/03/2019

Selecting the Right Suppliers Selecting the right partners came top for our participants. All had formal supplier qualification processes in place with a strong focus on risk mitigation and for the retailers with suppliers in the Far East, naturally managing corporate reputation risks were high on the agenda. All companies carried out financial health checks
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Will the UK Property market spring back to life?
15/03/2019

Asking prices rose by 0.7% in February, the market picking up as spring approaches. However, there is no doubt Brexit uncertainty continues to act as a drag on prices. Annual growth remains subdued at 0.2% and there was a 4% fall in transaction volumes in January when compared to the previous year (source: Rightmove). Nationwide’s
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SMEs using invoice finance experience dramatic reduction in debtor days
11/03/2019

Invoice finance firm Global Asset Finance Limited and its partners has seen a sharp increase in the last six months of new clients coming to them with an average of 90+ debtor days causing significant cash flow pressure. Yet within three months of accessing invoice finance, Global Asset Finance Limited clients are experiencing a reduction
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How much is your Supply Chain really paying for Finance?
04/03/2019

The case for a supplier to take supply chain finance is usually pretty clear, a new, flexible form of finance at a cheaper cost. The question we get asked most often is ‘what is in it for the buyer?’ Coming from a big business background , I have to admit to being totally naive as
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Choke Points: The Domino Effect in the Supply Chain
25/02/2019

We considered the balance sheet accounts that changed when a business experienced sales growth and uncovered the ‘Growth Paradox’. Growth consumes more cash than it generates and needs to be funded with a supply of cash. Or put another way; no cash, no growth! What do businesses do and what are their options for supplying
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Property Market is Still waiting as Brexit becomes chaotic
18/02/2019

As Brexit becomes ever more chaotic and our bickering politicians fail to find any kind of consensus, it is impressive how well the housing market is holding up. The Christmas lull went on a little longer than usual, but things are now coming back to life, albeit somewhat unevenly. Rightmove reported a 0.4% rise in
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How Sales Growth Affects Cashflow
11/02/2019

Is rapid sales growth good news for businesses? Rapid sales growth can be a mixed blessing. It creates the potential for greater profit, but requires more cash to finance the larger volumes.  When sales grow, the impact on the balance sheet is considerable, specifically when you look at inventory and accounts receivable. These trading asset
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How does supply chain finance differ from invoice discounting and factoring?
04/02/2019

Supply chain finance is a new way of providing liquidity to businesses. But what is it and why do it? How is it different from the more traditional approaches of factoring and invoice discounting? To access working capital finance, businesses have traditionally used short-term trading assets such as stock or trade receivables as security. The
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Managing supplier payment terms, there is the rules and then there are the exceptions
28/01/2019

Working for a well-known multinational (whose cash management borders on the obsessive) our rule was 30 days end of month (for contractors) or 60 days (everyone else). Period. Period of course except for the ‘prickly’ technical specialist who our most important client loved; and the marketing company the CEO just agreed a 20% advance for;
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Tools for Supply Chain Finance disrupters
21/01/2019

So much of the press around supply chain finance recently has focussed on the rights and wrongs of powerful buyers such as Tesco and Carillion using Supply Chain Finance to soften the blow of a forced extension to their payment terms and it got us wondering where this notion of a suppliers right to receive
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