Does the following sound familiar?
Our client operates a successful and expanding business. Unfortunately some of his customers tend to think of him as more of a bank and don’t always pay their invoices as quickly as they should – most likely because their banks were cutting their working capital and overdraft. This caused problems. He didn’t want to upset his customers by putting too much pressure on them, but providing them with credit was upsetting his bank who inline what is happening in the market the bank asked him to reduce the balance on his overdraft!
We all agree that this is a nonsense scenario, but unfortunately one that is happening all the time all over the country. Here is a successful business which is expanding despite the recessionary climate and which needs intelligent support and a structure which enables them to work with their clients so that they can continue to expand their business!
This whole scenario causes a chain reaction in the economy – yet we all know that supporting growth and success is so important. And in fairness, there are lenders who recognise this and are prepared to help; unfortunately these lenders are not in the majority.
Allow us one small marketing comment: Fortunately the client contacted ASC and we were able to arrange an attractive and intelligent solution or to quote: “the difference that is significant.”