Getting paid within the required credit terms is one of the most demanding aspects of running a business in the current economic climate, according to a survey of small and medium-sized enterprises.
The survey showed 27 per cent of responding businesses are waiting more than two months for payment. This was an increase of two per cent on a corresponding survey conducted nine months ago.
The number of businesses having to wait more than 70 days for payment had also risen by five per cent. Other challenging business tasks cited by the SME respondents included settling supplier payments on time (14 per cent), paying VAT/PAYE (13 per cent) and planning capital expenditure (12 per cent).
Cash Flow Squeeze
When customers are looking for longer credit terms and suppliers are wanting shorter payment terms the businesses in the middle suffer from a classic Cash Flow Squeeze resolving this dilemma is often the secret to your business success.
Sales Finance Could Resolve Your Cash Flow Squeeze
With the right kind of sales finance in place you can often satisfy your customers requirements and thus win more business while at the same time have sufficient cash flow within the business to pay your trade suppliers on time and in some cases ahead of time often allowing your to negotiate discounts for prompt or early payment.
For more information on Sales Finance including, Invoice Factoring and Discounting or International Trade Finance can help your business grow and resolve your cash flow squeeze please call Phillip Evans direct on 0797 0500 425 or follow the links provided