Banking the assets

Until recently, purchasing professionals have had little involvement in financing arrangements. But, says Geoff Tyler, the rise of a new type of finance tied to stock and raw materials has changed that

Purchasing and a company’s financial support policy have never been close management companions. Why involve purchasing in negotiations over the bank overdraft? Yes, we can estimate the sum needed for raw materials to satisfy next year’s targeted turnover, but where the company gets the money from is something accountants regard as none of our business.

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