‘Money makes the world go round’, Liza Minnelli once sang in the musical Cabaret. It appears though, the lyric ‘late payment makes the world grind to a halt’ would be more appropriate and chime true with a lot of SMEs.
The latest Business Confidence Monitor, released this month by the bean counters at the Institute of Chartered Accountants in England and Wales (ICAEW), reveals the stark picture that late payments are on the rise.
According to the research one in five businesses flag late payment as a challenge rising to around 25 percent especially for SME firms. This is an increase on last year.
This a problem across the board for business, but of nine sectors examined by the ICAEW, six of them are seeing late payment as a growing issue.