12/2012 Cash Management

Transcription

1 12/2012 Cash Management Liquidity optimisation brings stability to the corporate economy p. 2 SEPA moves forward step by step p. 6 Payment transfer schedules at the turn of the year p. 12

2 Danske Bank offers solutions for improving the efficiency of your company s liquidity management. Let us help you build an account and cash management solution that suits your company s operating environment and needs: you will receive an account solution that supports your business, real time data on the overall liquidity of your company, options for transferring, repatriating, centralising and investing funds, and efficient invoicing services. 2 Cash Management 12/2012

3 Liquidity optimisation brings stability to the corporate economy The economy of the euro zone is in recession, and there is no end in sight any time soon to the economic uncertainty. Low interest rates as well as the limited availability and relatively high costs of external financing further emphasise the importance of efficient liquidity management. A solid liquidity position is important for all businesses. The purpose of liquidity management is to ensure that the company can fulfil both its current and future payment obligations at the right time and with maximum cost efficiency. In order to successfully secure and manage its liquidity, a company needs up-to-date data on its cash flows and assets. The larger the number of operating countries and the larger the number of currencies a company uses, the more crucial are the tools used for liquidity monitoring, asset transfers and investments. 3

4 What is efficient liquidity management? In the prevailing economic situation, the question of what is efficient liquidity management often arises: it is difficult to obtain a yield on cash assets, and you also want to ensure sufficient liquidity. First, you should look at the what is there: what kind of bank accounts are used and where they are located; whether account funds can be centralised; where else do you have assets that are liquid or almost liquid; and how do you monitor the overall asset situation, explains Karin Martin, a liquidity management specialist at Danske Bank. Just by integrating a fragmented account solution and increasing the transparency of cash management you can increase cost-efficiency, increase the available liquidity and optimise internal financing, adds Taina Määttä, a cash management service specialist at Danske Bank. Focus on procedures and processes You can also improve your company s liquidity status by evaluating and revising the key financial management procedures and processes. For example, the purchasing and sales processes, the invoicing process, the use of cash discounts and monitoring the turnover rate of goods are fundamental aspects of working capital management. Practical areas for development include accelerating the invoicing process, more efficient collection pro- 4 Cash Management 12/2012

5 cesses and stock re-optimisation. Close cooperation between financial management and the company s other functions is often needed to spread awareness of the importance of these functions to the company s overall finances and ensure that the necessary changes can be implemented, Karin Martin points out. A carefully designed comprehensive liquidity management solution will bring cost savings for your company, as the need for external financing decreases, as well as a higher interest income thanks to cash centralisation, says Taina Määttä. Realtime information and reliable tools help boost the efficiency of the company s liquidity management and business operations as a whole. 5

6 6 Cash Management 12/2012

7 SEPA moves forward step by step Migration to the Single Euro Payments Area SEPA has been, and will be, a gradual process: there are further changes ahead, designed to facilitate and streamline international business operations within the SEPA. 7

8 The integration of the payment service market will not be complete until traditional national payment methods have been replaced with uniform euro zone-wide standards. In March 2012, the European Parliament approved the regulation on euro-denominated credit transfers and direct debits, as well as the End-Date regulation, which confirms the deadlines for migration to the SEPA. Both regulations will give added momentum to the progress of the SEPA in Europe. Payment data to be presented in ISO XML format According to the End-Date regulation, the financial management software used by a company is to produce payment data in accordance with the ISO XML standard from 1 February 2014 onwards. In case your company still uses old salary, pension or LMP material formats, preparations for XML are well in order. The national direct debit scheme ends According to the End-Date regulation, national direct debit schemes end on 31 January A service for converting direct debits into e-invoices and the new direct payment service, which is intended for customers who do not use online banking services, is available for invoicing parties using direct debit. Danske Bank also offers the SEPA direct debit for both consumer and corporate invoicing. Companies should begin the changeover to substitutive services in good time before the deadline and gradually stop offering the national direct debit service. 8 Cash Management 12/2012

9 A new price for the transmission of national payment data as of 1 February 2013 As of 1 February 2013, the transmission of old national payment data (LM02, LM03, TS, LUM03) will cost EUR 4.75/data file. No changes will be made to the charging of transaction payments. 9

10 The world has changed. We must also change. Over the course of a few years, the world around us has changed irreversibly. The fragility of the financial markets, further globalisation, energy and sustainability have all become permanent issues that no one can ignore. At the same time, technology has united the world in a digital network that puts finance at the tips of our fingers. This is not just a temporary transition. This is the new normal in which we live. For more information on our new strategy, visit our website at newstandards.fi. 10 Cash Management 12/2012

11 Audit letter makes it easier to prepare financial statements Danske Bank s Audit letter lists all the agreements your company has with Danske Bank that are related to the audit. The Audit letter offered to corporate customers is a useful audit tool. The Audit letter can be ordered separately from the bank for the financial statements, and it covers all the bank services needed for auditors (accounts, loans, bank guarantees, collateral, etc.), excluding liabilities at Danske Finance. Ordering the Audit letter is easy, and you can determine the order details as necessary: A summary may be compiled for any day in the preceding six months You can order a summary in advance for the current year and the next year The summary can be sent to several recipients at the same time You can order the summary in Finnish, Swedish or English The price charged for a Audit letter is EUR 50. A separate fee will be charged for a summary sent to several recipients, such as the auditor. To order a Audit letter, contact your own contact person or call Danske Bank s Corporate Service on Mon Fri 8 a.m. 6 p.m. (local network charge/mobile call charge) or submit an online message via Business Online. 11

12 Payment transfer schedules at the turn of the year The last banking day in 2012 is Monday, 31 December By observing the following times, you can ensure that your payments are processed in Domestic payments The latest submission time for payment data - electronic payment orders Monday 31 December :30 p.m. - orders submitted as forms Thursday 27 December :00 a.m. International payments - international payment orders Monday 31 December 2012 normal delivery schedule - Exception: payment orders containing information in the Instructions to the Bank field Monday 31 December :00 p.m. Salaries and wages Due date Monday 3 December 2012 Friday 28 December :30 p.m.*) Due date Wednesday 2 January 2013 Monday 31 December :30 p.m.*) Payment terminal debits Monday 31 December :00 a.m. Direct debits Due date 31 December December :00 a.m. *) Urgent transfers - using bank connection software Monday 31 December :15 p.m. - to branches Monday 31 December :15 p.m. - by fax Monday 31 December :00 p.m. Business Online - domestic payments Monday 31 December 2012 ***) - domestic urgent transfers Monday 31 December :15 p.m. - international payment orders Monday 31 December 2012 normal delivery schedule - Exception: payment orders containing information in the Instructions to the Bank field Monday 31 December :00 p.m. *) Danske Bank och övriga banker **) Endast direktdebiteringar mellan konton i Danske Bank ***) Transaktioner som matats in före kl bokförs på innevarande bankdag Material kan skickas 365 bankdagar före betalningsdagen. 12 Cash Management 12/2012

13 Changes in value added tax on 1 January 2013 The value added tax rates will be increased by one percentage point from 1 January 2013 onwards. The standard VAT rate will increase from 23% to 24%, the reduced rate of 13% to 14% and the reduced rate of 9% to 10%. As a result of the change to the standard VAT rate, the prices of banking services will also be raised from 1 January

14 Danske Bank plc Registered domicile and address Helsinki, Hiililaiturinkuja 2, FIN DANSKE BANK Business ID New Normal The world has changed and we re changing with it. Find out more at Corporate Customer Service Mon-Fri 9:00 a.m. 5:00 p.m. tel (0,0828 /call + 0,12 /min.) ebanking Customer Service Mon-Fri 8:00 a.m. 6:00 p.m., tel /3 (lnc/mnc) Software and data transfer services Mon-Fri 8:00 a.m. 5:00 p.m., tel (1.18 /min + lnc/mnc)