Palumbo Group to support supply chain
Palumbo Group joins Crédit Agricole Italia’s supply chain finance platform…
Palumbo Group has joined the Crédit Agricole Italia Supply Chain Finance platform.
Joining the finance platform happens to coincide with Palumbo Group benefitting from a €12.5million structured finance operation with the objective of issuing international guarantees in favour of ship owners involved with yacht building and payments against the completion of work in progress.
“Our Group’s vision focuses on supporting and developing the ‘Made in Italy’ production chains,” says Marco Perocchi, head of corporate bank management at Crédit Agricole Italia. “The creation of a close relationship with the lead companies, extended to the entire ecosystem, aims at strengthening the suppliers’ link to the supply chain itself. Impatto Impresa, the entire value chain draws benefits in terms of virtuous growth also thanks to the ISO certification of Bureau Veritas validating its financial sustainability.
“Through the confirming service, the lead company [e.g. Palumbo Group] offers suppliers the right to assign to the bank the trade receivables deriving from invoices the suppliers claim from the company, subject to certain previously agreed economic conditions. Thus, the suppliers participating in the program will be able to benefit from the credit of the lead company, as the debtor of the transfer relationship to the bank.”
While the superyacht industry deals with staggeringly large sums of money, it is often overlooked, especially by those outside the industry, the extent to which the supply chain is reliant on small, artisanal businesses. Indeed, it is these businesses that help maintain elements of the market’s allure and exclusivity and it is, therefore, of vital importance that such businesses have access to lines of credit so long as they are able to economically justify them.
This has perhaps seldom been of greater importance than it is now, given the supply chain issues that are being experienced globally as a result of the COVID-19 pandemic and various other geopolitical phenomena.
“This new partnership with Crédit Agricole Italia, with which we have been collaborating for years with mutual satisfaction, has been strongly supported by me with the aim of guaranteeing our production chain a solid opportunity to access credit,” comments Giuseppe Palumbo, sole director of Palumbo Superyachts. “Impatto Impresa will provide our market with even greater stability and financial efficiency, which in turn will affect all the companies related to Palumbo Superyachts.”
Stability and liquidity have been the name of the game in recent years for those shipyards that have managed to thrive. If clients are able to have confidence in the efficacy and financial stability of the supply chain, as well as the builders, then they will be in a happy place to commence works.
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