27% of SMEs Experience Late Payments Worsen

Posted: 27th September 2019

STOP THE PRESS

A recent survey carried out has revealed that 27% of SMEs are experiencing knock on or detrimental effects of late paying customers. This ongoing problem is resulting in SMEs, who are the backbone of the UK economy, seeing their cashflow and working capital dry up, through no fault of their own.

Fact: 48% of SMEs are genuinely worried they will go bust because of late paying customers.

SMEs are either spending valuable time chasing, or too worried to chase it at all. 1/3 of SMEs admit they are scared of chasing debt. When will customers take responsibility of their financial obligations and pay on time?

In June 2019, the Government has announced it is to stop the worst culprits by freezing them out of public sector contracts, whilst the Federation of Small Business continue to campaign about the damaging effects of late paying customers on SMEs.

What can SMEs do to take back control?

The answer is invoice finance.

Here is how invoice finance works?

  • Issue your invoices as usual, with a copy uploaded onto your secure online portal
  • You are paid up to 90% of each invoice value within 24 hours
  • We chase your customers for payment, as if we were your credit control department
  • When your customers have settled their invoices we pay you the remaining balance

So what are you waiting for – don’t let late payments risk the security and stability of your business.

Sign up today – in less than 5 minutes with our online ‘in principal approvals’ form or call us on 01908 268888.