Financing a contract: Okyere's Tailoring Sevices
Okyere's Tailoring Services is a family business that has been in existence for over a decade. The received a request for the outfitting of two institution: Uniforms for the staff of a premier hotel and the friday wear for the staff of a Bank.
Armed with the two contracts, the managing director of Okyere's Tailoring, Mr Okyere, approached NDK to finance the two contracts. After an interview with a credit executive, Mr Okyere was informed that it might be possible for NDK to assist him. He was given a list of requirements and instructed to bring certain documents. An important item was for Mr Okyere to obtain letters of joint-payment from the two companies placing the orders. This would ensure that all payments due Mr Okyere from the companies would be paid into an account in the name of NDK / Okyere's tailoring.
Mr Okyere presented the items requested a day later and his loan was approved the subsequent day. He was able to complete the orders in time. His payments from the hotel came on time as promised, but that of the bank delayed.
Mr Okyere came to NDK to inform us of the reason for the delay and he requested an extension of the repayment time. This was granted to him and he was advised to pay the interest element whilst waiting for the bank to make payment.
Eventually the bank paid, though a month later, however because Mr Okyere came to us and discussed ways to mitigate the delays by the paying body, he was able to avoid unecessary interest charges and manage the debt.
It was a successful transaction and we believe we will be doing more business with Mr Okyere and Okyere's Tailoring services.
*All names used in case studies have been changed to protect the identities of the clients.