Summer vacation in 2020 is different from any other holiday before. Even if you got the official approval from your boss several months ago, unburdened recreation at your most favourite destination is not guaranteed.
Booking of accommodation and flights is restricted, some borders are still closed and travelling to accessible places often becomes unattractive due to overcrowding or the risk of being infected with Covid-19. Apart from that, some people just do not want to leave their company alone in these uncertain times because controlling account balances is not possible from abroad.
Although financial managers are usually not responsible for decreasing revenues, they are directly in charge of ensuring the company’s ability to meet financial obligations for the next months. This comprises bills to be paid but also internal obligations like salary payments. While the number of payables is more or less fixed, incoming cashflows decrease for the majority of corporations during the Corona Crisis.
Well organized cash managers will rely on a treasury management system like Trinity Treasury Management System showing all relevant data for a comprehensive and pro-active controlling of incoming and outgoing cashflows. Over the years they have learned how external effects influence different categories of cash and assets and will use their experience to run different scenarios to be prepared for future impacts. Negative developments of foreign exchange and interest rates, higher prices for raw materials and a simulated decrease in sales figures are some of the factors for specific stress tests aiming at the best strategy to survive the next “crisis”. Their treasury management system will show the need for additional funds in advance and various precautions to bridge a gap of solvency can be taken in due time. How long financial reserves will last, depends on each single corporation and their strategy and ability to build a safety stock of money and underutilised credit lines.
Accurate financial plans and reliable cash forecasts will truely impress your banks more than just a self-made Spreadsheet without any audit trail and history of changes.
If you would like to impress your bank as well, we are here to support you in setting up a comprehensive financial plan and easy-to-handle cash forecast for your corporation. We can do that in a few days before you go on your holidays and while you are relaxing on the beach (or whatever you prefer in your vacation). Are you afraid of having pricks of conscience leaving your company ’alone at home’? You can have a look at your cash workbench via internet from any place around the world!.
Your system will be installed in a private cloud in Germany and we fill it with your data. After a few days you will be able to start working with your new Trinity Treasury Management System. And even better: for the special corona-package we will not charge you license fees before 2021.