Small firms in Ireland are waiting an average of 62 days for their invoices to be settled, but when it comes to debt collection Ireland's entrepreneurs are still reluctant to take action.
These are the findings of the Small Firms Association's Late Payment Survey, published in early January, which looks at the issues affecting the credit control and debt recovery Ireland's small businesses use to keep their accounts - and their non-paying customers - in check.
Insolvency turns £4.7bn of non-payers into never-payers
Each year, £4.7 billion of unpaid invoices in the UK are simply wiped away by insolvency and winding-up procedures, according to an Experian report.
From the smallest 'micro firms' to the biggest brands, when a company leaves the market completely by going out of business, the rest of the supply chain is likely to feel at least some impact not just in terms of lost custom, but by going unpaid for work already done.
Read more: £4.7bn of Unpaid Invoices in the UK Uncollectable Due to Insolvency
When it comes to cashflow, it isn’t just about ensuring your invoices are paid on time. It encompasses the entire flow of money in and out of your business and covers your businesses dealings with your own suppliers.
So do you treat your suppliers as you would like to be treated?
Read more: Treating Suppliers Fairly - ICM & BIS Managing Cashflow Series Part Four
Invoicing is an integral part of every business, so taking the time to ensure that your paperwork really works for you is often a wise investment.
In part three of the Managing Cashflow guides from the ICM and BIS you can find a wealth of useful information to help your company avoid the common invoicing pitfalls, reduce delays and remove excuses for non-payment.
Read more: Invoicing - ICM & BIS Managing Cashflow Series Part Three
