Case studies

How Comet reduces its client direct debit collections by 75 %

Antoine Bordalis, CFO of Comet, explains how he reduced Comet’s working capital requirement (WCR) using Memo Bank’s direct debit solution.

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Our direct debit collection time was 6 to 8 days, and it is now 24 to 48 hours. »

Antoine Bordalis

CFO

Company

company logo Comet

Comet trouve en moins de 48 heures des freelances pour les entreprises qui ont besoin de compétences informatiques sur des missions à moyen et long terme.

Icone Etoile 2017
Icone Employés 50 employees
Marqueurs Paris (75)
Customer
Antoine Bordalis

Antoine Bordalis

CFO

Comet Finds the Best IT Freelancers for Companies

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Our clients are primarily corporates from the CAC 40 and SBF 120."

Antoine Bordalis

CFO

Portrait Antoine Bordalis Comet

Created in 2017, Comet finds the best freelance experts for companies that need IT skills for long-term missions.

Comet has developed algorithms for searching, qualifying, and matching that enable it to automate the process of aligning client needs with the offerings of its freelance community , finding the right freelance profiles in less than 48 hours.

Nearly 600freelancers are staffed by Comet full-time each month, on projects averaging 12 months. The company closed 2022 with a 70% growth and has increased its revenue ninefold over the last four years.

The CFO of Comet Sought to Reduce a Structurally High WCR

When a freelancer is on assignment, Comet wishes to make the payment process resemble a regular, monthly payroll. However, client companies, where freelancers are stationed, pay Comet with payment terms ranging from 30 to 60 days. This model burdens Comet’s WCR, for which it has implemented several strategies:

  • factoring: Comet assigns client invoices, especially from major accounts, to factoring companies.
  • SEPA Direct Debit: Comet directly debits the bank accounts of its clients to collect payments.

Previously, Comet used a specialized fintech solution for SEPA direct debits, which had three major drawbacks: specialized. Yet this solution had 3 major drawbacks:

  1. Funds collected via the platform took 6 to 8 days to be received.
  2. Working with an intermediary solution made operational and accounting management processes more complicated.
  3. Net margins were reduced due to the costs associated with the direct debit solution.

In this context, Comet decided to switch to Memo Bank’s direct debit collection solution.

Comet Reduces Its WCR with Memo Bank's SEPA Direct Debit Solution

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"The direct debit solution from Memo Bank is integrated into the bank account, so we collect invoices between 24 and 48 hours."

Antoine Bordalis

CFO

Portrait Antoine Bordalis Comet

By choosing Memo Bank for direct debits, Comet resolved the issue of delayed fund reception: since Memo Bank’s direct debit’s solution is integrated to Comet’s bank account, funds now go directly into Comet’s bank account — rather than passing through an external provider.

Comet now receives payments within 24 to 48 hours after initiating the debit.

Memo Bank also provides all the features Comet needs to manage its direct debits:

  • creating mandates via the platform and sending them to clients for electronic signature;
  • simple and autonomous management of direct debit issuance;
  • automatic retries of direct debits in case of failure, a few days after the first attempt.

Comet was also impressed by Memo Bank’s comprehensive offering that meets all its needs.

« “In addition to the direct debit solution, it was alsothe complete package that convinced us. We have been working with Memo Bank for several months and are centralizing more and more operations in the account. We use many services, and the whole team has its own access. We have simplified our internal processes, says Antoine Bordalis.

He also appreciates the flexibility and intuitiveness of Memo Bank’s interface.

Portrait de l'équipe Comet - Partenaire Memo Bank

Comet's finance team.

Comet Reduces Client Direct Debit Collection Time by 75%

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Besides the direct debit solution, we chose Memo Bank for all the services that are combined within a single solution."

Antoine Bordalis

CFO

Portrait Antoine Bordalis Comet

Since Comet started using Memo Bank’s direct debit collection solution, Comet’s DSO on direct debits has decreased by 75%.

Comet’s working capital requirement (WCR) has also improved thanks to instant transfers, which are available by default and at no extra cost at Memo Bank. No need to plan 48 or 72 hours ahead for supplier payment deadlines anymore: all outgoing transfers arrive instantly.

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