Mettre en place la Culture Cash dans un groupe international

CASH : 10 GOLDEN RULES

1° Cash in before cash out
Make sure the customer has paid us before we pay our suppliers.

2° Maximise down payment from our customers
The more we get upfront, the better our cash situation is.

3° Set clear, not arguable milestones
Avoid unclear wording. If we say payment of delivery of drawings, be precise, which drawings are we talking about? If we aren’t clear, the customer can delay payments.

4° Avoid external consortium milestones
Don’t  let our payments be dependent on the performance of another company such as consortium partner. When we deliver, we need payment, whether or not partners are performing as promised.

5° Involve all relevant internal team member in cash relevant issues
For example, if a part is finished in the factory, tell the project team so that the invoice can be prepared, even if no-one is asking for the part!

6° Include billing flexibility / partial reception
Make sure that we negotiate for payment of part deliveries, so that when we deliver two components of four, we are paid for half the order.

7° Invoice as fast as possible
If we deliver the part, we send the invoice even if the part is late. If you usually send a pre-invoice, make sure it is sent in good time so that the invoice goes out on time.

8° Use supplier / subcontractor credit facilities
Phase deliveries when appropriate, negotiate a good bulk price, stagger delivery and only pay on receipt of goods.

9° Down payments to suppliers should be avoided
Cash out as late as possible: only allow down payment in exceptional situation.

10° Never negotiate cost versus volume batch size
Better to buy just what we need, than buy a bigger quantity at a cheaper price. Preferably strike a yearly deal and negotiate staggered delivery.