Optimal working capital management can provide a number of benefits to a business, including:
- Improved cash flow: By managing working capital effectively, a business can ensure that it has enough cash on hand to meet its short-term obligations, such as payroll and supplier payments. This can help to improve the overall cash flow of the business.
- Increased efficiency: Optimal working capital management can help a business to reduce the amount of time it takes to collect payments from customers, as well as reduce the time it takes to pay suppliers. This can result in a more efficient and effective use of resources.
- Greater financial flexibility: By managing working capital effectively, a business can have more flexibility to invest in growth opportunities, such as expanding into new markets or introducing new products.
- Reduced financing costs: By maintaining a healthy level of working capital, a business may be able to negotiate more favorable terms with lenders, which can result in lower financing costs.
- Increased profitability: By managing working capital effectively, a business can reduce costs and increase efficiency, which can ultimately lead to increased profitability.
- The company will be able to optimize the asset site of its balance sheet, by
- Optimizing working capital using PRI® CrediSoft;
- Monetizing open account receivables through PRI® inside;
- And will be able to reduce funding costs
- As part of the trade-off between direct payment of invoices of creditors and payment discount optimizing the credit site of the balance sheet using PRI® Supply Chai;n
- And creditors will monetize the account receivables and in addition can optimize working capital using PRI® CrediSoft.
Qube added value
- Qube Financing (and its affiliates) have developed the Qube platform, supported by its proprietary PRI® inside infrastructure, front-end to back-end fully automated receivables financing platform (“Qube Platform”), as one of the earlier Fintech 3.0 initiatives in the market and is fully equipped to be the winning platform of the third wave.
- This Qube Platform is fully operational and has been fully adopted by institutional investors, including the standardized procedures, ‘modus operandi’ and underwriting process steps & criteria.
- Qube targets European SME and Mid Market Corporates with a fully standardized approach as well as tailored solutions for multinationals, predefined underwriting criteria that are agreed with institutional investors and supported by PRI® inside and the add-on credit & collection management application PRI® CrediSoft and PRI® Supply Chain.
- Offering consolidated multi jurisdictions multi operating companies fully automated working capital financing solutions based on invoiced turnover, whereby PRI® inside directly interfaces with the Corporate's ERP systems, the Connection.
- The Qube Platform benefits from a modular design and standardized processes and legal infrastructure.
- US version of PRI® infrastructure can be calibrated for US time zone and jurisdiction.