A contractor can appear in both markets at once: it needs guarantees to win and perform work, and it carries receivables while waiting to be paid. Looking at those exposures separately can miss the cash flow that connects them. The same late receipt can delay a supplier payment and constrain the next project.
The autumn review should reconcile three schedules: debtor ageing, remaining contract costs and live guarantees. Each needs a consistent reporting date. A cash forecast assembled from different months can create a reassuring total that never existed at any one point in time.
For credit insurance, identify any changes to buyer limits, overdue balances or trading terms that need action under the policy. For surety, identify upcoming demands for new security, extensions and evidence needed for releases. None of these actions happens automatically because the other policy is in place.
The broker’s role is to make the combined picture understandable. Present the peak funding requirement, the committed bank facilities and the proposed insurance structure, with a clear downside scenario. The resulting discussion is about a viable programme of work and trade, rather than two unrelated requests for capacity.
Where this goes next
