0808 1644 222

Late payments exasperating cashflow issues for small businesses


0
March 14, 2018     |     Posted by:     |     Category: Blog

Recent research has identified the average UK small business is owed £63,881 in late payments, with a further 11% of small firms waiting on between £100,000 and £250,000,

Understandably any delay in payment from customers can impact cashflow issues for small businesses. Short term gaps are more likely oto be able to be addressed without the need for external help however insight from this piece of research suggests the issues are more significant.

Commercial data provider Dun & Bradstreet, who undertook the research, also found:

The research did highlight a potential risk area that small businesses were creating for themselves. A worryingly 36% of firms claimed they don’t perform thorough credit checks on their clients.

Commenting on the matter, Edward Thorne, UKI Managing Director at Dun & Bradstreet, said: ‘Although initiatives like the Prompt Payment Code are helping to highlight the issue, late payments pose a very real risk and can have a significant impact on the financial success of smaller businesses.’

How to resolve cashflow issues for small businesses

It really does pay to look into the a potential clients payment behaviour before committing to working with them. Not only does it affect your income and ability to invest in your business, but potentially could impact the profile you present to your suppliers.

If you’re concerned that cashflow problems are becoming a more frequent challenge to your business, it’s time to seek advice. The earlier you do, the more likely you are to have more options available to help you resolve and overcome the short-term gaps, like turnaround finance.

Don’t let your cashflow problems snowball to the point you can’t pay your suppliers or continue to trade. HJS Recovery can offer free advice into the most suitable options for your business, and get you back on track. Get in touch with us today on 0800 0141 130.

 


Leave Feedback Here

Enter Your Name Here

Enter Your Email Address Here


Your Comment Here



Contact Us Now
Learn more about how HJS Recovery can benefit your business

Through the years our team of experts have helped hundreds of UK companies buckling under financial pressure find their way back to sustainable growth. Whether you need advice on dealing with creditors, repaying business debt, setting up a payment schedule with HMRC or any other pressing issue, we’re the company to call. We’ll guide you every step of the way through the process of restructuring, refocusing and recovering.

HJS Recovery has nine offices at strategic locations around the country. We’re never far away and no matter where you are, we’re here for you 24 hours a day, 7 days a week. Give us a call and speak to one of our highly trained and discreet team members. They understand that each company’s circumstances have unique characteristics and as such are expert listeners. Give us a call today and set yourself and your company back on the path to a more sustainable, profitable future.

0808 1644 222
Get Started - Now