Managing Procurement Funds
Crown Agents is the only independent procurement services provider to have within its group an officially authorised and regulated bank, able to hold funds and to make payments on behalf of its clients.
Crown Agents Bank offers managed project accounts from which payments to suppliers are made in accordance with a mandate agreed between the Bank and its client. The Bank offers advice on the terms of the mandate under which the account is to be operated, to ensure it reflects the needs of the client's project, the funding agency and any other relevant parties. Accounts may be held in any major currency.
Crown Agents Bank reports to individual stakeholders, as instructed by the account holder. Statements, usually provided monthly, detail debits and credits to the account since the previous month's statement. Where required, supporting documentation and additional reporting can be provided with account statements.
Our internet banking service gives our clients secure and immediate access to account information, enabling them to view and print account statements and to issue instructions.
Managing the disbursement of project funds though a Crown Agents Bank account has several important benefits for the donor and the recipients:
- time saving: procurement and financial functions and transactions are carried out under the same roof - Crown Agents Procurement and the Bank are both located within our head office building in London
- seamless integration of all components of the supply and payment chain gives straight-through processing of data, removing the possibility of data errors or misunderstandings
- funds never leave the control of the account holder until the moment of supplier payment
- funds are available when needed. They do not pass through the bureaucracy of the consignee's bank, so there is no risk of consignments of goods being delayed pending receipt of funds.
The UK Department for International Development has used the Bank's services for over twenty years.
Supplier Payments
Every day Crown Agents Bank makes payments to suppliers all over the world, normally by electronic transfer but the method used will depend upon the value, currency and any particular client requirement. These payments may be made in any major currency, or in other traded currencies that many banks decline. The Bank's exceptional capacity in international payments gives Crown Agents buyers added flexibility in buying for our clients' best advantage, in that they are able to contract with highly competitive local suppliers who are unable to receive payments in other than their own currencies.
The Bank's monthly account statements support and verify the financial reports provided by our buyers, thereby giving a complete picture of how a project's funds are being used.