Late payments are seen as the norm in the business world, but what impact does this really have on SMEs?
Recent statistics on the UK reveal that small and medium-sized businesses are waiting to receive £23.4 billion in 2019.
This is up a staggering £13 billion from the year before. With over half of businesses experiencing overdue payments, this can result in companies struggling to pay their day to day bills, suppliers and even difficulties to pay staff on time. On top of that, it costs businesses a whopping £4.4 billion a year just to collect money that they are owed.
The bottom line is that late-paying clients have a real impact on businesses in all industry sectors, with 50,000 businesses closing each year due to this.
Infographic Source: https://www.smeinvoicefinance.co.uk/billions-owed-to-uk-smes-in-late-payments/