Firms, guilty of consistently paying SMEs late could be issued with fines and court orders as Government Ministers look, and take seriously, the detrimental effect it has on smaller businesses.
Fines and court orders could be issued as Ministers look to protect SMEs; what's more, they are also increasing the powers of the Small Business Commission.
I am a firm supporter of this; and as such I have voiced my concerns over the damaging effects late payment has on even the seemingly strongest 'cash rich' businesses, and penned many articles on the subject.
FACT: A staggering £23.4bn was owed in late payments to SMEs last year
Late payment is a huge burden for SMEs. So, let me ask you a question - what's been the latest you've been paid... 30, 60, even 90 days late? How did it make you feel? How did it affect your business? I'm guessing not so good.
Prompt payment by your clients ensures your business has a fluid cashflow, ensuring that it's able to cover overheads such as wages, suppliers, rent, utilities etc.
FACT: 50% of businesses will fail due to lack of cashflow after 5 years
Yet, without prompt payment, how can you pay those bills? How can you survive? How can you negotiate your own terms, often better with cashflow & working capital in the bank, with your own suppliers?
The answer is actually simple; it's invoice finance!
Invoice finance, also known as invoice factoring, enables a business to release monies against issued invoices; working simply and effectively to manage your business's finances and cashflow.
Benefits and financial stability that an invoice finance facility brings include...
What big businesses don't realise is their late payment is putting smaller companies out of business altogether! Action needs to be taken, not just by the Government and Small Business Commission, but action by you, as a business owner, to protect your business against the burden of late paying customers.
That action is invoice finance!
I was a major player in promoting invoice finance in the UK finance market almost 30 years ago. It has now become the most popular form of alternative finance in the UK, with over 44,000 businesses enjoying the benefits it brings, and peace of mind it offers.
FACT: Invoice finance releases monies on issued invoices within 24hrs
“Cashflow is the life blood of a business” Sir Richard Branson.
Sir Richard is right, cashflow makes or breaks a business. Yet how, as an SME business, worried about alienating customers when chasing for payment, or too embarrassed, can you ensure you are paid what you're owed promptly? As you've just read, invoice finance pays you promptly on all your issued invoices, as a result you have cashflow and working capital to cover your expenses and use to maximise your growth opportunities.
As an expert witness in alternative finance, I am ideally placed to arrange your invoice finance for your SME. As an independent broker, with access to all UK providers, of which there are over 50, I can tailor your invoice factoring facilities with the best provider.
There are no charges to you when asking me to arrange your finance. You see I am remunerated directly by the provider; with no hidden fees attached to your lending. Your invoice finance facility is easy to arrange, quick to set up – usually fully operational in a week or two – and a cost effective way of controlling your company's cashflow.
With over 27 years experience, I offer only expert, honest and impartial advice for your business. This is because I believe SMEs need solid and professional advice. SMEs are the backbone of the UK economy and you need protecting and supporting. That's my job; that's my passion. It's why I boast coveted privileges by providers such as fast track status; as a result I can usually arrange your lending faster and at lower cost than if you were to go direct.
So get your cashflow flowing today and save your business from becoming another SME failure statistic – call me directly on 07785 596053, or email me on email@example.com