More than seven in 10 corporate treasurers believe invoice discounting offers a means for treasury to add tangible value to their organisation according to research from C2FO.
The UK-based working capital exchange C2FO conducted its research among those attending the Cash and Liquidity Optimisation Europe conference for corporate treasurers and finance directors, held in London in early-November 2015.
The Supplier Finance Survey indicated that most treasury functions are looking into the value of accelerating payment to suppliers. As well as the 71% who agreed that invoice discounting was beneficial, 96% of corporate treasurers agreed that the role of supplier finance is growing while 67% believed their supply chain was suffering cash and liquidity challenges
Innovative technology supports the role of the treasury function, with invoice discounting clearly enhancing the treasury’s added value to the rest of the organisation, reports C2FO. One branch of this, “dynamic discounting”, allows treasurers to simultaneously generate a better return on their cash while supporting their supply chain.
“Corporate treasurers frequently don’t have the ability to enhance both the P&L and the balance sheet – digital platforms do just that and are an extremely powerful tool for any treasurer’s toolkit,” said Jason Bristow, former vice president and treasurer at Amazon.com, now chief financial officer (CFO) of Code 42 Software.
“Having the ability to deploy cash based on business cycles and seasonality proved to be extremely valuable – the C2FO model allows for both suppliers and corporates to be extremely flexible in their approach.”
With the end of 2017 fast approaching, many finance professionals might be counting down the days with some degree of dread. Year End is just around the corner and with it comes the many long hours accountants will spend going over balance sheets and profit and loss accounts, investigating account irregularities and chasing sign offs.
Despite being behind the likes of Europe and China, the US payments industry is now rapidly advancing, said Anish Kapoor, CEO of AccessPay told GTNews in an exclusive interview.
Treasurers are more interested in cross-border payments and automation than real-time payments, as they are consistently asked to do more with less, argues Rick Burke, head of corporate payments at TD Bank in an exclusive interview.
The top five sectors Asian fintech investors are interested in are data analytics, blockchain, lending, payments and regtech, according to Gary Hwa, EY regional managing partner.