Last year Dints secured a Vendor Managed Inventory (VMI) contract with a prominent African mining client, Gold Fields Ghana. Already live at the Tarkwa mine-site, Dints’ new VMI model tackles inefficiencies within the procurement, supply chain and inventory management functions. Combined with a tailored payment plan, Dints says it “is able to deliver client savings of 20-25%.”With financing backed by the UK Government, Dints can offer this new service to all geographies and product lines. The benefits of Dints’ VMI model and services include:Improved payment terms on operational and capital expenditure‘Pay as You Use’ minimises capital tied up in inventoryInventory management control reduces obsolete stock holdingStreamlined procurement and warehouse managementLower procurement costsA reduction in equipment total cost of ownershipPrice transparency and fixed pricesDeferred payment terms improving the cash flow can be flexed in either of 3 ways. The first, buyers credit is more appropriate for large Capex spends. Suppliers credit uses bills or promissory notes. The third is structured receivables financed – through the Dints contract – providing balance sheet efficiencies.Each can be structured as a revolving facility and given the UK government support provides the buyer with:Low cost funding (funding costs are priced against the UK Government risk)Low cost of carry-financing used as and when procurement takes placeAdditionality of exposure – these facilities do not impinge on your existing bank appetiteAbility to scale as facility is utilisedMatch currency of contract with currency of supplySimple loan documentation (LMA Standard) or against Bills of Exchange/Promissory NotesStructured repayment terms that provide positive cash flowDints is now in a position to offer new and established clients the VMI service, which can be tailored to suit specific client requirements.