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E/D/E financial services

Purchasing intuition, the provision of appropriate warehouse capacities and the efficient coordination of flows of goods have always been among the core competencies of the trade.

However, the range of today's trading houses goes far beyond classic trading functions in many cases. As a supplier of complete solutions, they plan and coordinate complete building projects, are part of global value-added chains, undertake financing functions and much more.

Such extensive ranges of duties present modern trading companies with completely new challenges, for example in the field of financial resources or business management knowledge. More than ever, knowledge about a company's own financial leeway, the company's own credit rating and their strengths and weaknesses in direct comparison with other competitors form an essential component of sustainable and successful business development.

The E/D/E takes on these new, exciting issues together with its members. The dynamic specialist team in the field of financial services supports all E/D/E members with its services dealing with corporate financing, credit ratings and interfactory comparative studies.

Member rating

A good credit rating, as an expression of reliability and solvency, is a decisive criterion for the successful implementation of self-set corporate objectives. Whether, and if yes, with which conditions a company receives credit, is supplied by suppliers or finds investors depends greatly on the company's credit rating.

As part of the E/D/E member rating, we determine your company’s credit rating. The rating report compiled by us in this context provides you with in-depth information about your current computed credit rating and provides an extensive explanation about the derivation of results. If required, we are also happy to have a personal meeting with you to explain the results. A rating certificate, which is also compiled for you, makes it possible for you to present your results without divulging confidential details.

Interfactory comparative studies


Operational key figures are a fixed component of the management and control equipment of the corporate management. The comparison of your own values with those of comparably positioned competitors is of particular interest. The detailed E/D/E interfactory comparative study compares your corporate key data to a carefully researched industry portfolio of comparable companies and the entirety of all trading companies stored within our database. The positive and negative deviations determined in this way provide a direct portrayal of particular strengths or weaknesses of your own company.

Financing

Stable, maturity-matching financing of all assets with sufficient leeway to implement planned projects is a basic prerequisite for the long-term success of a company. The expanded range of tasks within the trade now connected with familiar, annually occurring seasonal characteristics places increased demands on the financing of our members. As a well-financed partner by your side, the E/D/E and the ETRIS BANK as a wholly owned subsidiary of the E/D/E will support you in your market financing issues, particularly in the fields of goods base and seasonal financing.

Member consultation – company succession

The well-regulated hand-over of the company to the next generation or, if this is not possible, to external interested parties is an important task and the major challenge currently faced by many family-run companies. We will happily support you as part of your search for potential successors and advise you about the subject of company succession, within the network of your tax advisor and lawyer if possible.

  • Member rating

    The E/D/E member rating is a three-level procedure to determine credit rating. As part of the first stage, various pieces of internal and external credit rating information are collected and assessed, together with solvency information. Subsequently, within the second stage, an extensive analysis of the last three financial statements together with current operational evaluations and planning data will take place. The obtained knowledge is verified as part of a personal management meeting in stage III.

    The result of the rating process is an extensive report and a certificate. The certificate serves to present the determined rating result in the form of a grade from A to D. The rating report provides deeper information about the derivation of the rating result and the partial results.

    Use the E/D/E member rating

    • to prepare for bank meetings and internal bank rating procedures
    • for self-critical determination of your company's own credit rating (analysis of strengths and weaknesses)
    • as part of your supplier meeting as the argument to retain willingness to supply or improve your purchasing conditions
    • as part of your negotiations with customers to emphasise your financial power and the long-term potential of your company
    • to present your credit rating to potential successors and investors as part of your succession plan
    • for a general presentation of your credit rating to credit agencies / trade credit insurance companies and other financial service providers, such as factoring and leasing companies, etc.
  • Intercompany comparison

    The E/D/E interfactory comparative study offers detailed, carefully researched and clearly presented information about the actual development of the value of the industrial B2B industry segment, as is provided by no other supplier for this business segment. Above all, the “clean” allocation of participating companies to homogeneous industry groups is one of the, if not the, most important success factors of our calculations.

    An important quality criterion of such an interfactory comparative study is also the number of participating companies. In principle, the larger a comparative group, the more meaningful the results. With over 330 participating companies, with the introduction of the interfactory comparative study at the beginning of 2010, we managed to fill the E/D/E main industries perfectly in terms of numbers. Since the start, it has been possible to continually increase participant numbers. In this respect, we achieve scales not achieved by commercial suppliers.

    In terms of content, the E/D/E interfactory comparative study is based on the analysis of financial statement information, which is provided to us on an annual basis by members as part of the E/D/E rating procedure. Each participating company receives a clear report with detailed information about the extent to which their own corporate key data is better or worse pronounced than the anonymised comparative information from the attributive industry portfolio. In addition, we attach the comparative values of all wholesale and retail companies saved in our database to each evaluation, depending on the trade in focus. As well as the usual comparison of corporate and industry values, this procedure makes it possible to classify this in an overall context.

    Benefit from the direct comparison of your corporate data. Increase the transparency in your figures and recognise your strength and the strength of your trading colleagues. We would be happy to compile an E/D/E interfactory comparative study for your company as well.

  • Financial

    The financing requirements of modern trading companies are extremely complex. As well as classic long-term financing of assets, traders also require financing solutions for substantial short-term assets.

    Stock levels, which tend to represent a majority of the assets and whose volume can be subject to major deviations within a year depending on the business model, must be sufficiently and flexibly financed.

    With increasing significance in supplier credit, today's traders are also taking over financing functions for their clients themselves, with corresponding ramification on their own financing requirements. However, they often end up at the limits of their financial capacities, if customers increasingly exploit granted net credit terms or ask for even longer credit terms.

    The E/D/E, itself a powerful trading company, knows the special financing requirements of industrial B2B. As a well-financed partner, we support our affiliated member companies in the following sectors, among others:

    • Goods base financing and financing of residual margins
    • Preservation of discounts
    • Expansion of range
    • Introduction of trade concepts

    We are happy to submit a tender to you based on your individual requirements.


  • Member consultation – corporate succession

    In Germany, almost 80,000 companies every year are faced with the task of regulating corporate succession. A well-regulated take-over, if possible to the next generation or to third parties, is an important guarantee for portfolio consistency and the long-term success of the company. Such a change in management of a medium-sized company is a major incision, not just for the corporate management but also for the employees, who are concerned with having a secure workplace.

    As part of the succession plan, internal processes must be reconsidered and repositioned. The current daily routine must not be affected as far as possible, customer relationships must be maintained in order to keep them up under the new management. In addition, many contractual conditions must be readjusted.

    For all parties involved in such a process, this is a long-term project, which must be started in good time. The process’ execution requires careful and systematic preparation, so that the company is not damaged during the course of the take-over. We can advise you during your deliberations and activities concerning the succession plan.

  • Contact

    Christoph Feil
    Managing Director ETRIS Bank GmbH

    Dieselstraße 45

    42389 Wuppertal

    Telefon:+49 202 6096-1500

    Fax:+49 202 6096-70 500

    info(at)etrisbank.de
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