Businesses Struggling to Get Pai

MEDIA ALERT

Businesses Struggling to Get Paid

Businesses are waiting nearly 8 weeks to be paid by customers, with the average invoice payment time rising to 55 days during 1Q, up from 52 days in the previous quarter, according to Dun & Bradstreet’s latest Trade Payments Analysis (TPA).

With Bibby’s own Barometer showing cash flow difficulties for businesses, Gary Green, National Sales Director, is available for comment on:

• Strategies to manage cash flows
• Collecting on invoices sooner
• Outlook for business conditions
• Hiring and investment intentions by small business

D&B’s s analysis shows companies with fewer than 20 staff take on average 53 days to pay bills, paying more quickly than big companies.

Those employing more than 500 people average more than 57 days to pay bills. The fastest payers are medium-sized companies employing between 50 and 199 people, who settle accounts in 50 days.

The results accord with the Bibby Barometer, with the most recent survey showing 48% of small businesses are experiencing delays in being paid, 34% had an invoice that was several months overdue, while 21% have had their clients increase their terms of trade or payment times.

To combat cash flow problems, 73% of small businesses have implemented new methods for managing their cash flow situation, with 24% offering early payments discounts and 19% conduct credit checks on new customers.

ENDS

© Scoop Media