Case Study: MORJAS improves cash conversion cycle with Treyd

MORJAS improving the cash conversion cycle

MORJAS, a Swedish footwear brand specializing in high-quality, handcrafted shoes, faced significant cash flow challenges due to long production lead times and supplier-required advance payments. This made inventory forecasting difficult and constrained the capital needed for growth. To overcome these growing pains, MORJAS partnered with vendor Treyd to gain control over their cash conversion cycle.

By using Treyd's service to pay suppliers upfront, MORJAS gained an additional 120 days to pay for its inventory. This solution from Treyd effectively freed up valuable working capital, allowing the company to align cash flows with seasonal patterns and often achieve a negative cash conversion cycle. As a result, MORJAS improved its operational cash flow, accelerated growth, and even negotiated supplier discounts that exceeded Treyd's fees, ultimately improving their gross margin.

MORJAS

Daniel Ohlsson

Chief Operating Officer