Is your business owed money?

March 7, 2016 by Andy Crow

Is your business owed money?

Is your business being bullied by suppliers or struggling to receive payments for completed work?

According to a recent survey, small and medium sized businesses are waiting for a staggering £255 billion in late payments, with more than half of the companies asked, owed money

Zurich polled more than 600 SMEs about the late payment problem.  One in five reported that they are owed more than £25,000 while almost one in 10 have more than £100,000 outstanding. It is estimated that more than 43,000 SMEs are owed more than £1 million.

Unsurprisingly, a large proportion said late payers placed a significant pressure on their cash flow.

Despite Government regulation, 49 per cent said ministers aren’t doing enough to combat the issue with not enough pressure being put on bigger businesses through the Enterprise Bill which was brought in last year, to enforce payments.

Late payment harms business cash flow, hampering investment in growth and in extreme cases potentially risking a firm’s solvency. The need to chase late payments can also add costs to businesses.

The rising trend in late payment has put increasing strain on all businesses, but specifically small businesses.

If you are not getting responses via traditional methods, it is relatively cheap and quick to use a solicitor that specialises in litigation to put pressure on claiming money that is owed to you and take pressures off your cash flow worries.

If you are encountering a problem and need some free advice, please contact Chorus Business Advisers on 0845 8671263 or email info@chorusadvisers.co.uk for more information

To read Andy's previous articles on your business please click the link https://www.leigh-on-sea.com/tag/listing/blog/finance