Late payments fall
Nov 26 2009
Payment times are getting better
Businesses are seeing late payment times improve, according to credit referencing agency Experian.
Of the 23million commercial transactions analysed, on average businesses took 20.99 days beyond their agreed terms to pay their bills last month, compared to 21.54 days in September and 23.20 days in October 2008.
Joe Myers, head of commercial credit at Experian’s business information division, says: ‘As a whole, this is quickest that UK businesses have paid their bills since April 2008, a potential sign of increasing confidence as firms feel less inclined to hoard cash.’
Medium-sized firms (101 to 500 employees) were the fastest at paying their bills, settling them 19.22 days beyond the agreed terms.
Research from business consultants Tenon Recovery, suggests that the majority of entrepreneurs (86 per cent) are adopting strict initiatives to manage cash flow. Of the 301 respondents questioned, 70 per cent say they are chasing debtors more quickly to get money in.
There are currently no comments on this article
Comments