Late Payment of Commercial Debts is a major concern for Businesses for the year ahead according to a new survey polled amongst 1,000 small and medium sized UK businesses. The survey was performed in respect of anticipated and expected growth.
The survey conducted by Bibby Financial Services has found that only 36% of companies expect growth during this first quarter compared with a much larger 46.4% only three months ago whilst that figure was at 64% only two years ago.
A recent report by Lloyd’s Bank also echoed the sentiments of this latest survey, stating in its findings that Business confidence in the UK is decreasing.
The major reasons cited for this include Late Payment of Invoices by clients along with a lack of UK demand for services/products and increased heavier competition.
Chief Executive of BFS David Postings said “SME Confidence is plummeting while investment is only being made if essential, suggesting that the recovery is losing steam”
Businesses are being urged to take pro active action when it comes to the question of unpaid invoices. Leading Debt Collection Agency Frontline Collections spokesman Chris Spencer advised “Nobody has ever lost a customer because they requested to be paid on time. Some Businesses simply aren’t maximising their cash flow by not acting when credit terms are breached or invoice payment dates become expired”