Corporate finance

Thanks to more than 20 years of professional experience of its founder and its partners and thanks to a wide network of professionals, RATIO CONSULTING offers financial and advisory services finalized to growing companies and preserving their wealth. We do this by implementing accurate and timely reporting systems and appropriate working capital management systems. The correct knowledge of margins and working capital levels are the main means to avoid financial and economic crisis for any company. Furthermore RATIO CONSULTING is among the few advisers in Italy to offer a covenants monitoring system before and after breach. 

MANAGEMENT CONTROL

It’s very difficult to produce and even more so to sell, but if you are not cashing the receivable in due time all previous efforts are compromised. 

RATIO CONSULTING, in collaboration with local management, offers lenders a service of constant updating and variance analysis on: key performance indicators, effectiveness and efficiency of restructuring actions and rolling cash flow forecasts. 

WORKING CAPITAL MANAGEMENT

It’s very difficult to produce and even more so to sell, but if you are not cashing the receivable in due time all previous efforts are compromised. 

Today’s focus on supply chain management, raw materials transformation, negotiations and sales activities, often relegate the focus of cash flows to an almost marginal role. Despite good margins, if cash flows are not properly managed, profit can turn into a liquidity crisis.

If you pay suppliers before collecting form customers (DSO greater than DPO the so-called treasury imbalance), if customers are slow payers or worst do not pay at all, the company can find itself in financial crisis in a very short time.

When stocks of raw materials, semi-finished and finished goods are kept “high” in order to meet the short lead times required by customers or to take advantage of attractive volume discounts offered by suppliers, the cash suffers because working capital is immobilized in products on shelves with low turnover.

In order to correct any cash imbalances and to avoid sudden liquidity crisis, RATIO CONSULTING has produced its own business model for Working Capital Management. Customers, suppliers and inventory levels can and must be handled with absolute rationality and prudence according to the method proposed by RATIO CONSULTING. 

Al fine di correggere eventuali sbilanci e per evitare improvvise crisi di liquidità, RATIO CONSULTING ha affinato un proprio modello operativo e innovativo di gestione del capitale circolante. Clienti, fornitori e scorte di magazzino, ovvero il capitale circolante, devono e possono essere gestiti con assoluta razionalità e oculatezza grazie al metodo proposto da RATIO CONSULTING.

COVENANTS MONITORING

Essential for debtors to prevent breach, useful to lenders for a timely and consistent information. 

The current economic crisis has made the company’s financial balance of paramount importance to avoid unexpected and sudden “liquidity crisis” led by a deterioration in relations of trust between companies and third- party lenders (banks, suppliers, tax agency, employees). 

Post breach Monitoring

RATIO CONSULTING, in collaboration with local management, offers lenders a service of constant updating and variance analysis on: key performance indicators, effectiveness and efficiency of restructuring actions and rolling cash flow forecasts. 

Preventive Monitoring

The service is offered to companies that, having taken out loans with clauses binding for the maintenance or re- negotiation on less favorable terms, want to pursue compliance for both equity and profitability levels. 

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