9 tips for maintaining a healthy cashflow (3/3)

9 conseils pour conserver une trésorerie saine
All companies agree that cash is key. But the cash reflex needs to be developed.
Three BNP Paribas Factor customers have agree to share their experiences and advice for maintaining a healthy cashflow. Confidences.

OPTIMISING CASHFLOW: READ MICHÈLE SESMAT’S TESTIMONIAL

P. SESMAT is a small, family-owned business. We deliver the full range of wood and aluminium joinery projects. From preparing the plans to manufacturing, our company is there to serve its clients.
However, in our business, we face 3 difficulties:

  • Filling an order book when faced with competition from abroad which is sometimes difficult to compete with when it comes to price.

  • Maintaining a healthy cashflow with regard to social security, tax and supplier obligations.

  • Finding qualified, motivated and professional people to do the work within the time allotted.

The main difficulty is juggling the various deadlines. It is very difficult for microenterprises and SMEs to meet all their commitments without the support of banks and other institutions.

If we fail to honour our tax, social security and supplier commitments, we are penalised immediately, which can be very costly. Likewise, if we are behind schedule on a project, we are hit with penalties! Conversely, if an authority fails to pay us on time, we never charge interest for late payment…

We initially approached Oséo (now Bpifrance) in 2009 because of our problems with payment terms. Then, in 2017, BNP Paribas Factor offered us their factoring service when our overdraft facility was reduced. For a year now, factoring has allowed us to settle our debts on a more regular basis and, especially, to re-establish relations of trust with our suppliers.

As you can see, small businesses get squeezed from all sides. I’m not exaggerating when I say that. This is our day-to-day.

Despite everything, without BNP Paribas Factor and Bpifrance, P. SESMAT would no longer be in business. So, thank you to all the institutions that work and find all possible solutions to keep companies in business, and therefore jobs in our country!

ADVICE FROM MICHÈLE SESMAT FOR A HEALTHY CASHFLOW:

  1. Anticipate
  2. Monitor cashflow every day
  3. Chase payments and keep the banks updated


Find out more:

  • Michèle Sesmat works for P. SESMAT.
    P. SESMAT specialises in the manufacture and installation of aluminium, wood and PVC joinery... Pascal Sesmat, owner and manager, has more than 40 years of joinery experience. The company currently has 8 employees and works mainly for regional and local authorities, general companies, investors and property investment companies.
  • Please feel free to contact P. SESMAT for more information on their business:
    http://www.sesmat-menuiserie.fr/


Discover 6 other pieces of advice for a healthy cashflow:

9 conseils pour conserver une trésorerie saine

9 tips for maintaining a healthy cashflow (1/3)
9 tips for maintaining  a healthy cashflow (2/3)

These testimonials are taken from the white book "Payment terms, cashflow... the real life of building and civil engineering businesses"

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