This case study showcases a story of a manufacturer from the wood industry.
Cash flow problem, what to do...?
Initial situation:
- Extreme seasonal fluctuations
- Costly procurement of the raw materials
- Tense liquidity situation
- Low profitability of a health financial build-up
- Not available receivables management
- Customer default
- High stock levels
- Price erosion in the entire market
Result:
- Establishment of the financial plan including data transfer from the financial accounting
- Improvement of the incoming payments
- Renegotiated credit terms
- Continuous receivables management
- Stock removal – changes in the parts listing
- New prices for small quantities
- Banks provided the company with a bridging loan
- Close cooperation with the KSV1870
