Pitches Flashcards
(22 cards)
Intro
TF Intro
TF - What are you selling?
Ebury’s undecured Trade Finance facility. Are you familiar with similar facilities?
TF - The way it works..
The way it works is when you receive an invoice from a supplier, Ebury can pay that up front
TF - Cash Rich
That’s good to know we actually like companies that are comfortable.
FX - Netting
Okay that’s interesting to know as we are actually actively incentivised to look for clients repatriating USD back into sterling.
Here at Ebury, our books are naturally dollar-long and so clients like yourselves help us incredibly to net our position and balance our books.
Meaning we are in the unique position to guarantee that any international trade you would do with us will be at a better rate, with better credit terms, than with any other provider.
TF - I already gave a bank
- specialise in SMEs and put in the time and effort to build relationships
Look, not trying to replace anyone, with our platforms, we can work seamlessly alongside. Whilst we are not a bank, we have the capabilities of one. Where we differ is in how we can offer the __ approach of a broker.
Too much hassle to change provider:
I have invoice discouting
- how often do you use it throughout the year?
- do you ever hit the upper limit?
- is it secured?
- set up or maintenance fees?
77% of our clients do also have Invoice Discounting. As our facility actually works on the supply side, and is unsecured, it will not conflict with any existing provider or facility you may have. It is free to set up and maintain so many clients simply use it as an extra string to their bow and utilise it just to get a bit of extra headroom when cash flow gets tight in certain points of the year.
FX - Naturally Hedged
- do you have overheads here in the UK?
3 sells for netting
This puts us in the unique position whereby we are able to offer:
- best in industry pricing
- 0% deposit, 0% margin call
- ability to hedge out to 5 years (if there was ever a broad appetite)
FX - If lead doesn’t know much about hedging
We believe at Ebury its important to take risk off the table and protect your profit margins
Stick to what you know and do best, rather than try to make profit on the currency market
Currency is the biggest eroder of profit margins
The market is way too volatile with elections etc
FX Flip
- I appreciate that TF is not for everyone.
- Whilst I have you on the line, I wouldnt be doing my job if i didn’t check, but actually our second arm of the business is that of treasury mgmt
- If you don’t mind me asking is it a bank or broker you use at the minute?
FX - dont care about cost savings
Look, I know we can save you a few £ on Fwds instead of spot, BUT I know that’s not of interest to you. To you, you need security..
Sell on our security
- backed by tier 1 bank
- money held in..
- 34 liquidity providers (wouldnt work with us if dinft trust us)
- Santander couldnt beat us so they joined us
- set to IPO next year, obviously we are trusted
- transacted over 27bn in FX last year
- top rated on BBG
FX - current bank has no credit terms aalready
FLIP to currencies - sell on exotics/accounts/cashback etc
FX - All cover taken out for this year
That’s excellent, what’s your annual exposure?
So how much have you hedged until Sep ‘25?
Ok john, so you say you’re hedging 6m but currenlty only covered for 3m; what about the remaining?
How much of your Fwd contract have you used up? (find out if they’re near maxing it out so we can step in)
FX - already have provider
- at what levels?
- what is your budget level?
- how far do they hedge out?
FX - Already receive competitive rates
I’m not surprised you already receive a competitive rate, I assumed you would.
We will of course be able to improve on that.
Where we really add value to our clients is in the service we offer to our clients.
But in addition to price, what else is important to you?
FX - already have bank
Look, not trying to replace anyone, with our platforms, we can work seamlessly alongside. Whilst we are not a bank, we have the capabilities of one. We transacted 27bn in FX last year. Where we differ is in how we can offer the __ approach of a broker.
What we’ve found from other clients who also use banks is that with them they are getting a less tailored approach. Whilst they may be mitigating your FX risk to some extent, we know that it is not a one-size-fits all-process and you may still be cutting into profit margins more than you need to be. With Ebury, clients receive a dedicated account manager… be on call whenever… come up with strategy that works for you and your firm.
TF - Is this like factoring?
Factoring on back end, we are front end
They support customer payments, we supplier payments
They also chase payments directly, we would not get involved with customers at all (unsecured)
TF - Is this like invoice discounting?
ID on back end, we are front end
They support customer payments, we supplier payments
