What do you get if you combine a smart company with a smart business solution? We look at Dynamic Marine and see how their focus on cash flow has made them an ideal client for Fifo Capital. Here’s how working together has supported their goal of achieving growth for their business.
Dynamic Marine started operating two years ago in the ship repair and steel fabricating market. Fifo Capital recounts how they started working together.
“Well, they were a referral from a bank manager. They started two years ago and they had one customer. The customer paid on 30 days and it’s a fairly labour intensive industry that they work in so they had to pay their staff and then they found that the bank couldn’t help them. So they came to us to begin with. ”
The secret to the success of the relationship between Fifo Capital and Dynamic Marine came from their ability to work together. Dynamic Marine’s customer “sang the praises of their professionalism and ability” and Fifo Capital recognised that they were a very smart company.
“They were always on top of what they were doing and how they were doing it, and understood the importance of focusing on and projecting their cash flow. Then, if they saw a challenge – they called me.”
Dynamic Marine used Invoice Factoring to access funds that were tied up in long 30 day payment periods with their customer. David Sheehan, Director at Dynamic Marine, describes how the solution worked.
“We had work awarded, work created, then obviously that 30 days was tying up the cash flow. Fifo Capital paid out the invoices to us prior to our customer paying out, and made us so we could continue with work that required funding to see completion. Initially it was regular, but now that we are more established we require them less and when we do borrow, the period of time that we borrow against an invoice is shorter.”
“We’ve received excellent service. Fifo Capital does whatever they say they will do and we’ll continue to have a long working relationship with them, even thought we might not use them all the time.”
So, what do you get if you combine a smart company with a smart business solution? For Fifo Capital, it’s a recipe for success. “I get no greater kick than having somebody say to me – don’t need you anymore, thanks very much, we’re fine now. I’ve developed a great relationship with Dynamic Marine and am proud to have been part of their success. They’re what I would call a rock gold company – they’re ideal customers.”