WCM cases

Selected examples of WCM practice at PostFinance

The WCM experts at PostFinance have already supported countless companies with their expertise on optimizing working capital management. The examples show two possible model solutions and their respective benefits.

Factoring for a manufacturing company

This solution is applied in the accounts receivable of a manufacturing company. This enables the manufacturing company to benefit from the very good creditworthiness of its customers. The company sells its receivables to PostFinance, which makes the payment immediately after the customer acknowledges receipt of the goods. The customer pays their liability to PostFinance on the agreed date.

This solution offers several advantages:

  • Affordable, flexible financing based on the high creditworthiness of customers
  • No adverse effect on the debt-equity ratio

Dynamic discounting for a major corporation

With dynamic discounting, companies with very good creditworthiness can use surplus liquidity for early payment to suppliers. This allows suppliers to be more flexible in specifying when they want their invoices to be paid. If required, for example seasonally, PostFinance can provide additional liquidity and handle payment transactions. This solution benefits both customers and suppliers:

  • Companies can reduce their procurement costs and use excess liquidity without risk in order to avoid negative interest rates.
  • Suppliers finance themselves flexibly and inexpensively based on the customer’s good creditworthiness

This might interest you too