Cash Flow

/Tag:Cash Flow

The Office of the Small Business Commissioner

The Office of the Small Business Commissioner was launched in December 2017 ensuring fair trading practices for the UK’s 5.7 million small businesses.

What is the job of the Small Business Commissioner? What does it mean for businesses?
“We have been set up to support small businesses experiencing poor payment practices with larger businesses. If you find that you are getting paid late and this is resulting in unpredictable cash flow, please get in touch with us.

Is cash flow a cultural crisis for UK business?

According to research from BACs published in 2018, almost half of the UK’s SMEs receive late payments. The average is 72 days. In cash terms, this represents £26 billion owed. Paul Daine of Premium Collections, has this to say about cash-flow issues for small and medium sized businesses, “Chasing payments is a huge barrier to productivity and growth. Late payments are not just an inconvenience, because they can make the difference between keeping afloat or actually going out of business.”

If late payments are so prevalent,

The importance of cash flow

Cash flow is the lifeblood of Businesses. It enables them to invest and expand. Without it they cannot be sustainable. To make the most of opportunities, a business needs confidence in their cash flow. This means getting to grips with credit management.

How well do you know your customer?
You must know who you are dealing with. You need to know the person you are trading with is credit-worthy. Should things go wrong, the more you know about them,