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Company News
Deloitte and PrimeRevenue Host Supply Chain Finance Seminar in Paris
Seminar Focuses on How PrimeRevenue’s Supply Chain Finance Solution Addresses New LME Requirements
PARIS, FRANCE and ATLANTA, GA, March 1, 2010 – Deloitte, in partnership with PrimeRevenue, announced the successful completion of their joint seminar on Supply Chain Finance (SCF). The event discussed how PrimeRevenue’s SCF solution provides companies with the capability to address new regulatory requirements affecting supplier payment terms. These new rules—implemented in 2009—are part of what is widely known as the LME, the Law for the Modernization of the Economy in France.
Historically, most supplier payment terms in France have been between 90 and 105 days. With the new LME requirements, companies must reduce these terms to 60 days net or 45 days end of month from the date of an invoice. This reduction in payment terms has a significant negative impact on payables and cash flow for large Corporates, potentially reducing cash flow by over €100 Million per €1 Billion in spend.
“The LME greatly impacts the way French companies negotiate commercial terms with their suppliers and the nature of their supply chain relationships. Naturally any regulatory change that impacts the supply chain has a major impact on a company’s cash flow and profitability,” said Brice Roche, Deloitte Partner.
The seminar demonstrated the value of PrimeRevenue’s Supply Chain Finance solution in light of the new LME requirements and educated clients on how they can restore their cash flow in this context. The event also established how Corporates should consider the accounting treatment implications of such programs.
“PrimeRevenue’s open, multi-bank SCF platform allows Corporates to improve cash flow throughout the supply chain,” said P.J. Bain, CEO of PrimeRevenue. “Our SCF solution offers a unique win-win approach to speeding supplier payments, supporting the LME rules and improving buyer cash flow.”
About Deloitte
Deloitte calls on diversified expertise to cover the scope of services required by its clients of all sizes from all industries - major multinationals, local micro-companies and medium-sized enterprises. Our 6,300 professionals and partners embody the vigour and success of the Firm in their commitment to clients and their constant concern for service excellence. Deloitte offers a very comprehensive range of services: audit, consulting and risk services, tax and legal, accounting and corporate finance, in accordance with its multidisciplinary strategy and ethical approach. In France, Deloitte S.A. is the member firm of Deloitte Touche Tohmatsu, and professional services are provided by its subsidiaries and affiliates. For more information, please visit www.deloitte.fr
About PrimeRevenue, Inc.
For Global 2000 organizations who view their supply chains as a strategic asset and are seeking to increase supply chain efficiency, PrimeRevenue is the leading provider of open platform Supply Chain Finance (SCF) technology and services. Our open SCF platform and working capital advisory services provide these organizations with the control and flexibility required to drive superior SCF results, reducing cost, capital and risk throughout their supply chains and forging stronger trading partner relationships. Headquartered in Atlanta, Georgia, USA, PrimeRevenue has offices and customers throughout the world. For more information, visit www.primerevenue.com.
MEDIA CONTACTS:
Elise Garcia
Deloitte
+33 (0) 1 40 88 71 19
elgarcia@deloitte.fr
Emma Flack
PrimeRevenue
+1 678-904-7132
pr@primerevenue.com
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