BlogMaster – Page 3 – CredebtExchange

ETR Save, Submit & Send

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Once all the details of an ETR trade are entered correctly, the Originator has the option to: Save Submit & Automatic Send Submit & Manual Send It is important to understand the function of each… Continue reading ETR Save, Submit & Send

The Importance of Time

When it comes to credit control and working capital, time is critical. More often than not, days and weeks are allowed to pass without actions being taken to get results. As you’ll see in the other articles in this Smart Cash Flow Programme, there are very simple ways to use time more effectively and reduce… Continue reading The Importance of Time

Calculate Working Capital

If a company takes all of its short-term assets (e.g. cash in the bank, receivables invoices, stock, etc) and pays all its short-term liabilities (e.g. suppliers, staff, etc) the remaining balance is their working capital position. If the working capital position is positive, it is more than likely that the company is adequately capitalised and is self sufficient. If… Continue reading Calculate Working Capital

Institutional Roadshow III Begins

Today Credebt Exchange® completed its initial Institutional Investor Roadshow in London. From an initial panel of six UK banks, presentations were made to three. The primary focus of the presentation was on risk and controls. Initial reaction was positive with offers from two of the three banks expected before…

Weighted Average DSO [WADSO]

As explained in the Day Sales Outstanding [DSO] article, there are only two technical terms we refer to in the programme DSO (pronounced D-S-O or D-SO) and WADSO (pronounced WAD-SO). Once you’ve read and understand how DSO is calculated, WADSO is the tool that measures performance i.e. how effective your cash collections are. WADSO is short for Weighted Average Day… Continue reading Weighted Average DSO [WADSO]

Cash Balance Policy

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Reconciled receipts occur automatically when a payment is received that has the exact same value as the Face Value of a single Traded ETR. The Reserve paid to the Originator is calculated based on… Continue reading Cash Balance Policy

Payment Policies

In accordance with the Credebt Exchange® Master Agreement, and as defined therein, this is a Credebt Exchange® Document. All Originator and Agent Members of the Exchange are bound by all of the provisions contained in this Document. THIS IS AN IMPORTANT DOCUMENT AND IT SHOULD BE READ CAREFULLY TO ENSURE COMPLETE UNDERSTANDING PRIOR TO ACCEPTING… Continue reading Payment Policies

Day Sales Outstanding [DSO]

There are only and two technical terms we refer to in the programme DSO (pronounced D-S-O or D-SO) and WADSO (pronounced WAD-SO). Don’t get distracted with all the other cash/credit control jargon like Collection Effectiveness Index, Transaction Turnover per Cash Applicator, etc. They’re too complicated and aren’t used in this programme. This programme is focused on real results that are… Continue reading Day Sales Outstanding [DSO]

Low Cost Capital

Exchange Overview Credebt Exchange® provides an unrivalled and unique form of Low Cost Capital specifically for organisations in the micro-medium business sector. The Exchange model is substantially different from any other type of traditional working capital/lending model. A summary of the principal differences is highlighted below: Selling model, as opposed to a lending model No… Continue reading Low Cost Capital

The Smart Cash Flow Programme

From 25 years of owning and operating small companies (and some large ones too), one of the hidden costs of doing business has always been our bank charges, fees and, of course: the lending/borrowing interest rate charges. These can be prohibitively expensive so we devised a simple smart cash flow programme to ensure we kept bank fees,… Continue reading The Smart Cash Flow Programme

2013-Q4 ETR Briefing

Exchange Traded Receivables [ETR], are invoices issued under Contract for goods and services supplied to investment quality† companies, or credit insured invoices from Investment Grade [IG] insurers. As at Q4, Credebt Exchange® held RPA of €4.3m, with €2.7m allocated during the quarter. The full spectrum of available ETR was utilised and all currency exposure was… Continue reading 2013-Q4 ETR Briefing

How to use risk to your advantage

As explained in the previous article “It’s all about Risk…” you’ll now understand that larger organisations get preferential treatment from banks. That’s the status quo and isn’t likely to change any time soon. So what can you do to improve the banks perception of your business, so that you achieve ‘next best’ status? The answer… Continue reading How to use risk to your advantage

It’s all about Risk

Once you understand risk, then you’ll begin to understand banks and how banking works. Banks, investors, shareholders, managers, financial markets, brokers and other investment/lending professionals all learn about risk. That’s not to say they necessarily understand risk in all its guises, but they must understand the principal that high risk is bad risk. Think of it like parenting.… Continue reading It’s all about Risk

It's all about Risk

Trading in Multiple Currencies

There are two ways to trade and sell your invoices/ETR in multiple currencies: Sell in one currency & get Settled (i.e. paid in full by the Debtor) in another Sell & Settle in the same currency Credebt Exchange® operates in multiple currencies but does not offer Foreign Exchange [FX] hedging, or FX swaps. Any… Continue reading Trading in Multiple Currencies

50+ Retail Investors

Today the Exchange received funds from it’s fiftieth Retail Investor. Since the first date of trading on 4 July of his Year (see article: First RSA/RPA Trade Executed), achieving 50 Retail Investors demonstrates a strong appetite amongst the investment community for strong, short term cash-equivalents such as ETR….

3-Step Trading

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre An Originator that has completed their enquiry, received and confirmed their RSA Offer and are an authorised Member of the Exchange, can originate Traded ETR in three simple steps. If you are a new… Continue reading 3-Step Trading

2013-Q3 ETR Briefing

Exchange Traded Receivables [ETR] are invoices issued under Contract for goods and services supplied to investment quality† companies, or credit insured invoices from Investment Grade [IG] insurers. As at Q3, Credebt Exchange® held RPA of €3.2m, with €1.7m contributed during the quarter. The full spectrum of available ETR was utilised and all currency exposure was… Continue reading 2013-Q3 ETR Briefing

Notice of Intent [NoI]

Before any invoice from any customer/Debtor can be traded and sold on Credebt Exchange®, a Notice of Intent [NoI] letter must be issued. This is a one-time-only event (i.e. it does not occur repeatedly) and the notification process is simple: Firstly, you create the letter using the Notice of Intent [NoI] Template. Once prepared, the… Continue reading Notice of Intent [NoI]

Debtor Experience Upload

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre There are two types of customers you will have: existing customers that you have been selling to for some time and new customers. For existing customers please use the instructions below and upload their… Continue reading Debtor Experience Upload

Enter Organisation Details

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Once you have received your digital certificate and have logged in to the Exchange Trade Centre | Dash Board, you should begin by completing the Originator Application process. Before you can use any part… Continue reading Enter Organisation Details

Notices to Debtors

Regularly we are asked about the Notice of Intent [NoI]. This is an introduction letter that explains who Credebt Exchange® are and why you’ve chosen to partner with us. The Notice of Assignment [NoA&#93 is a separate letter that is attached to each and every invoice/ETR when it is being sent to your Debtors/customers. The… Continue reading Notices to Debtors

How a Buy-Out Works

Many Originators with Invoice Discounting/Factoring [IDF] ask Credebt Exchange® to Buy-Out their contract so that they can completely dispense with their current provider. The current IDF provider owns the Debtor ‘book’ because they have advanced money to the Originator based on the total Face Value of all the invoices in that book. To conduct a… Continue reading How a Buy-Out Works

Unaffected by Seasonality

The Summer months tend to be the slowest for most Originators (and indeed Investors), however, August continues the steady growth experienced in Q2. The performance demonstrates that the initial Members of …

First RSA/RPA Trade Executed

Volume trading in Exchange Traded Receivables [ETR], has been strong using Revolving Sales Agreement [RSA] block and buy-out trades to increase market penetration. Little, or no, initial resistance in the market. Deals are delivering on Investor Revolving Purchase Agreement [RPA] …

Membership, Fees & Charges

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Credebt Exchange® aims to be clear and transparent on the how it deducts charges (i.e. fees and commissions) from payments to any Member account. Before examining any deductions from a Member account, the Originator should log… Continue reading Membership, Fees & Charges

Membership, Fees & Charges

Calculate the Cost of Funds

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Once you have read and understood the article that explains the Credebt Exchange® charges, understanding the true cost of funds is very simple. Login to the Exchange Trade Centre | Dash Board and select… Continue reading Calculate the Cost of Funds

Exchange Fees & Charges

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre In accordance with the Credebt Exchange® Master Agreement sub section 6.13: “The Account Bank will draw any fees and/or commissions that the Member owes to Credebt Exchange® from the relevant Member Account. Credebt Exchange… Continue reading Exchange Fees & Charges

Exchange Fees & Charges

Add New User

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre In many instances there is more than one user in an Originator organisation that requires access to the Exchange Trade Centre. To add a new Debtor, use the Add new User interface that is… Continue reading Add New User

Split or Merge PDFs

IMPORTANT:- Some links in this article will only be accessible to authorised Members that have logged into the Exchange Trade Centre Regularly, Originators need to merge multiple invoices/ETR into a single PDF document, prior to uploading using the Open a Trade section of the Exchange Trade Centre. Similarly, there are other instances where multiple invoice/ETR… Continue reading Split or Merge PDFs

Viewing PDFs in Firefox

When viewing PDF documents on the Exchange using the Firefox browser, the document may not display properly. To fix this go to Tools -> Options -> Applications and then scroll down to the Portable Document Format (PDF) item in the list and select the option ‘Use Adobe Acrobat (in Firefox)’ as shown in the image… Continue reading Viewing PDFs in Firefox

Investor Demand

After only six weeks, Investor demand for Exchange Traded Receivables [ETR], is ahead of expectations and indications are that demand will continue into Q3 at a steady pace. This strong positive performance indicates that ETR placement and yield…

The SB³ Trading Algorithm

The Sell, Bid Bumps & Buy [SB³] algorithm uses two mathematical calculations to regulate efficient, and smooth, trading in volume. The SB³ algorithm injects simple ingenuity into the practical issues of operating an efficient Exchange. The components of the algorithm are: Sell Buy Bid Bumps Sell Originators want a simple, fast, efficient and most… Continue reading The SB³ Trading Algorithm

ETR OnRisk with AIG

Exchange Traded Receivables [ETR], officially went ‘OnRisk’ with AIG as finance trade, commercial risks attaching on an insurance contract with specific reference to the Master Agreement …

Investor Road Show II

The second Investor & Intermediary road show concludes with a further 10 Intermediaries being appointed as agents for Credebt Exchange®. This brings the total number of…

Exchange Opens for Business

The first two Investors both confirmed their initial investments in ETR today. Both are deposit investments and the Buy rate commences on 25th February for an initial…….

Intermediary Growth

As the New Year starts the number of Intermediaries has grown substantially now that ETR have both capital and yield protection. The ETR Repurchase forms a central part of the Credebt Exchange®……

ETR Overview

Credebt Exchange® was founded in 2011, specifically to address two important issues in the economy: 1. liquidity in the micro-medium business sector; and 2. providing a strong, stable, cash equivalent alternative to bank deposits for Investors. Trading commenced in July, 2013 and Credebt Exchange® continues to deliver on its commitments to both businesses and Investors.… Continue reading ETR Overview