Friday Squid Blogging: Vampire Squid Fossil
A 30-million-year-old vampire squid fossil was found, lost, and then re-found in Hungary.
As usual, you can also use this squid post to talk about the security stories in the news that I haven’t covered.
Read my blog posting guidelines here.
JonKnowsNothing • March 5, 2021 5:35 PM
@All
re: Supply Chain vulnerability: Bank-Funding collapse
MSM reports on the imminent collapse of a financial services company that provides Supply Chain funding.
Supply Chain funding is a variation of Factoring (as in Banking Finance).
Generically, the Customer helps the Supplier to obtain financing to buy supplies and materials for an order. Most companies do not have the bank funds or cash on hand, to buy vast quantities of materials and this is a different format to obtain funding.
The imminent collapse Greensill Capital will have a ripple effect not only in the loss of funding, loss of direct jobs, but also in dried up supply purchase orders, booking orders and billions in investment funds (hedge and private).
1, note: This is not a good practice. In the USA licensed contractors are normally required to buy all materials and pay their sub-contractors providing an invoice for all services. Large projects like home remodeling or new construction contracts may include some up-front deposit or percentage of completion payments.
ht tps://en.wikipedia.org/wiki/Greensill_Capital
* Greensill Capital a financial services company based in the United Kingdom, focused on the provision of supply chain financing and related services.
ht tps://www.theguardian.com/australia-news/2021/mar/05/tens-of-thousands-of-jobs-at-risk-as-greensill-capital-moves-closer-to-collapse
ht tps://www.theguardian.com/business/2021/mar/05/credit-suisse-winds-down-10bn-in-funds-as-greensill-bank-prepares-for-insolvency
ht tps://en.wikipedia.org/wiki/Supply_chain_finance
* supply chain financing (or reverse factoring) is a financing method initiated by the ordering party (the customer) in order to help its suppliers to finance its receivables more easily and at a lower interest rate than what would normally be offered.
ht tps://en.wikipedia.org/wiki/Factoring_(finance)
* Factoring is a financial transaction and a type of debtor finance in which a business sells its accounts receivable (i.e., invoices) to a third party (called a factor) at a discount
(url fractured to prevent autorun)