SFS recommended a Trade Payables program which provided:

1
Growing Cell Phone Manufacturer
SFS APPROACH
RESULTS
SITUATION

• The distributor was able to receive the terms
  they required without placing a financial strain
  on their supplier
• Manufacturer was able to increase cash flow and
  reduce DSO while meeting production and delivery
  schedules and satisfying the needs of their
  customer
• Both parties collaborated to lay the foundation
  for a strong working relationship

• SFS recommended a Trade Payables program which
  provided
• The distributor with 90 day terms
• The manufacturer with immediate, non-recourse
  payment

• A rapidly expanding distributor awarded a 120MM
  contract to a manufacturer
• The contract required terms of 90 days to allow
  the distributor to buy and resell the product
• The manufacturer could not support the 90 day
  terms without adversely effecting their cash flow
  and exposure

2
Energy and Natural Gas Utility
SFS APPROACH
RESULTS
SITUATION

• Company required a financing alternative to
  bridge the disparity between its receivables and
  payables
• Order to cash cycle on receivables was 90 days
• Procure to pay cycle of payables was 30 days
• A negative 60 day gap in cash created supported
  by borrowings

• Trade Payables helped
• Company to renegotiate terms of 90 days with
  certain vendors.
• Provided the vendors with a low-cost financing
  option to receive payments immediately.

• Gap in cash cycle closed leading to reduced
  corporate borrowings
• Financial stability of the vendor base was
  strengthened by providing participating vendors
  with predictable payments within three days of
  invoice approval
• Reduced interest expense due to increased working
  capital efficiency