London, England – 7/31/2017
Small businesses in the UK have been facing a total sum of £2.16bn due to overdue payments.
Out of 1.7m small to medium sized enterprises (SMEs) in the UK, approximately 640,000 businesses say that they have to wait beyond the approved terms to receive their payments.
Scotland has the highest percentage (46%) of SMEs with late payment problems, followed by Northern Ireland with 39%. England is close behind with 37%, whilst Wales comes in with just over 34% of SMEs experiencing late payments.
Approximately 19% of SMEs have been affected by an overdue settlement and they admit that being owed between £20,000 and £50,000 can be enough to drive them into bankruptcy.
Of those businesses facing late payments, around 16% of them struggle to pay their employees on time, whilst 28% of the company directors have cut down their salaries so as to keep the necessary working capital inside their business.
And nearly 32% say that an overdue invoice settlement has forced them to make late payments to their own suppliers. 25% of SMEs depend on bank overdrafts to make all the important payments and around 15% are finding it difficult to pay general business bills, such as energy and rent.
As per the CEO of Nucleus, “Falling late payments is welcome news for every SME, as well as for the wider economy. It is good to hear that reasonably simple measures, such as collecting money or insisting on payments are assisting the SMEs to stay out of this trap. We would advise every business to scrutinise whether automated payments could help them with controlling their cashflow more efficiently.”
Nucleus Commercial Finance has been imparting their services for the past few years. It supports businesses with finance that they require to thrive in the market. Nucleus has a team of specialists with considerable banking and investment knowledge.
The services offered by Nucleus Commercial Finance are set upfront fees and come with guaranteed proficiency and honesty. To find out more about them and their services, visit https://nucleuscommercialfinance.com/.
Nucleus Commercial Finance Ltd.
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