Understand and better control the risks of the construction industry
Construction, a sector at the heart of the French economy, is very often subject to uncontrollable factors such as the price of materials, the purchasing power of households and changes in interest rates.
How to optimize and protect your cash flow in the current economic context?
Allianz Trade offers you this new thematic file to discover what are the challenges and risks of the construction sector in 2023.
Contents of this guide:
– Key figures, economic conditions and construction regulations
– New trends: mobility, e-commerce, energy efficiency…
– The risks to anticipate and the main needs of the sector
The construction sector, at the heart of the French economy, is very often subject to uncontrollable factors such as the price of materials, the purchasing power of households and changes in interest rates. Mainly composed of micro-companies and family structures, it can be frequent to face late payments in the construction sector.
Tensions over raw materials and labour, as well as the rise in energy costs, are occupying discussions on how to limit their immediate impact on margins and cash flow, at a time when the beneficial and significant effect state aid is coming to an end.
The generalized practice of subcontracting also increases financial uncertainties: if the growth of your Working Capital Requirement is greater than that of the EBITDA, your cash flow is stretched with the consequences of an increase in your financial expenses. , difficulties in paying your suppliers, with possible domino effects in the event of default by one of your business partners.
Discover in our thematic dossier the various challenges of the construction sector in order to optimize and protect your cash flow in the current context.
