Outsell

RENÉ DIJKMAN – DIRECTOR

“Direct lines of communication, clear communication, a solution-oriented approach – that’s what sets Boozt24 apart”

About Outtrade

Out of trade, based in Nieuwleusen, Overijssel, is an importer of outdoor products designed to create an inspiring outdoor experience. This includes everything from fire pits, electric heaters, mood lighting and barbecues right through to complete outdoor kitchens. The company designs many of these products itself – keeping pace with current trends in its target markets – and has them manufactured by established partner companies worldwide. “As a result, it is not only trends but also global developments that determine our position in the market.” – René Dijkman, director of OutTrade.

A small team, big ideas: when passion leads to innovation

In 2004, René and Angela Dijkman decided to turn their shared passion for trade and the great outdoors into a business. OutTrade was born and, in the years that followed, grew into a thriving, internationally operating company specialising in outdoor products. Contrary to what one might think when looking at the products, the company does not have a separate in-house design department. “Separate departments are hardly feasible within an SME like ours,” explains René. “We now work with a small, flexible team.” In practical terms, this means that at OutTrade, every team member – from administrative staff to account managers – contributes ideas on new products and product ranges.

It is precisely because ideas are approached from different perspectives and areas of expertise that the designs are often so surprising. This is also because the company knows how to make effective use of AI. The premium lifestyle brand WOOH (Warmth Out Of Home), which offers products designed to take outdoor living to the next level, is the latest example of this.

Challenge

As an importer that sources products globally and also sells them worldwide, it is a huge challenge to meet the financial requirements of both retailers and manufacturers. Retail chains sometimes do not pay their invoices until six weeks later, whilst manufacturers want to be paid immediately upon delivery or request an advance payment. OutTrade must therefore carefully coordinate these differing payment terms. As the company sources and sells products globally, it also monitors exchange rate fluctuations and potential exchange rate losses.

Sustainability also plays an important role in international trade. OutTrade ensures that products not only meet customers’ requirements but are also produced responsibly. As an import company, OutTrade looks beyond mere customer requirements. The company also monitors the sustainable production of its products. In doing so, OutTrade pays attention to social conditions, such as working hours and the prevention of child labour, as well as the materials and packaging used. “These are issues that are deeply rooted in the requirements of retailers, but also of financiers. Being off the gas grid and having solar panels on the roof are just two of many factors that come into play,” says René.

Solution

Cash flow is extremely important for paying suppliers and maintaining stock levels. In practice, a form of working capital provision in the form of invoice pre-financing has proved ideal for OutTrade, enabling it, on the one hand, to pay suppliers on time and, on the other, to agree to longer payment terms from customers. The company has been working with Boozt24 for some time now to ensure a healthy cash flow.

René particularly appreciates Boozt24’s personal and solution-focused approach. “Short lines of communication, clear communication and a focus on solutions – that’s what characterises Boozt24,” he explains. “They don’t think in rigid terms, it’s not a case of ‘This is how it is, just get on with it’, but rather we work together to find out how everything fits within the client’s overall picture.” OutTrade also notices this flexibility when it comes to financing. Whilst other financiers sometimes limit funding based on a client’s size, Boozt24 finances the full amount even for the largest clients.

It is therefore much more flexible for a company like OutTrade to work with Boozt24 than with other financiers. Currency differences, factoring costs (such as assessing a customer’s liquidity) and the interest costs incurred when financing stock – that is, your customer’s stock (!) – are all factors that cost an import company a fair bit of money. These, too, proved to be issues open to discussion, and ultimately led to favourable agreements. “Boozt24 thinks like an entrepreneur, not like a financier, and therefore offers more flexible solutions,” René concludes.

The Result

Boozt24 really focuses on solutions to ensure optimal cash flow

A healthy cash flow is essential for OutTrade. Suppliers expect prompt payment, whilst customers prefer to take advantage of generous payment terms. Boozt24 helps OutTrade to reconcile these differing interests. With invoice-based pre-financing, OutTrade gains faster access to the funds from outstanding invoices. The fact that Boozt24 also actively contributes ideas on resolving the issues surrounding international cash flows proves to be a stroke of genius. It is ideal that Boozt24 thinks like an entrepreneur rather than a financier, and that they understand the financial challenges faced by an SME.

René Dijkstra

Director

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