Late Payers Hurt Small Biz Bottom Line

By on April 13, 2012 in News


The Sydney Morning Herald:

A survey by Bibby Financial Services last year found 25 per cent of small business experienced serious cash flow shortages in the previous 12 months due to late payment by customers.

And the problem of late payment by businesses appears to be getting worse. According to the most recent Dun & Bradstreet Trade Payments Analysis – which examines firms’ ability to pay their bills – the number of bills left unpaid for 90 days or more grew by 20 per cent in the December quarter compared to the year previously.

How do you battle against late payments in your business?

Photo by TaxBrackets.

debt small biz


Angela Shupe has added 5,783 posts to Business Opportunities Weblog.

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  • http://n.a. cindy hawkins

    Well, as a CUSTOMER who regularly uses a small veterinary clinic for my pets’ care and, a local Dentist I have been visiting for decades, both let me ‘run a tab”. This means that no matter what my financial situation, if I cannot afford to pay the whole bill, I am honor bound to pay part of it. This has built a real foundation of trust between myself and both these wonderful service providers. But I imagine for some vendors or customers such a situation is not an option. Shame, though. Even the Internal Revenue Service must work with taxpayers to put payment plans in place, installments, whatnot. Then too, we read of people who just try and weasel out of paying their bills at all….who will evade any responsibility. Ever. Working with customers whenever possible has been my savior. However both my vet and, dentist were agreeable to it. Right now I am ‘flush’; I can pay my bills in total, once more, without having damaged any relationships in the places where I have done business – and plan to, again in future!

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