Posted on 24th Aug 2009 by Alan in Cashflow problems | Comments Off
Trade organisations are up in arms over the withdrawal of trade credit insurance for many retailers and this is putting ever increasing pressure on retailers credit control. The British Retail Consortium (BRC) today published a survey stating more than half of large retail respondents said the reduction or withdrawal of trade credit insurance had adversely affected their business and their credit control. Of those, more than three quarters said it had led to problems with up to a quarter of their suppliers. Read the rest of this entry »
Posted on 7th Aug 2009 by Alan in Late payments, Unpaid invoices | Comments Off
Figures published this month show a sharp rise to nearly 200,000 businesses struggling in the second quarter of this year much of it caused by the increase credit taken by late payers. Unpaid invoices continue to be of particular concern.
The increase of businesses showing signs of significant financial problems compared with last year is endemic throughout the country. Late payment and unpaid invoices are blamed by many companies with customers continuing to stretch payment.
There is a very diverse picture amongst sectors on a quarter on quarter basis:
Recruitment, engineering and manufacturing amongst others have shown substantial increases in problem companies and unpaid invoices.
Construction and professional services have in contrast shown reductions in problem customers quarter on quarter but unpaid invoices are of continuing concern. Read the rest of this entry »
Posted on 7th Aug 2009 by Alan in Late payments | Comments Off
“Battle-damaged by a year of recession and plagued by poor liquidity, the UK’s largest firms will be unable to respond to the economic upturn when it emerges”, new research by Roland Berger Strategy Consultants reveals today.
“Companies do not anticipate recovery until next year, but hit by poor turnover, an ongoing credit shortage, late-paying customers and pressure on interest cover, they will be unable to respond to the upturn for a further 6½ months after it commences.”
Yet again we see late payments as the cause of so many companies’ ills.
Roland Bergers Restructuring Survey 2009 also reveals that “firms are failing to control costs effectively in the face of these financial woes, and are dragging their feet over urgently needed restructuring.” Read the rest of this entry »
