The latest Business Barometer, conducted by Close Brothers, showed 50% of businesses find late payments are a problem. The impact of which is felt mostly in the amount of time spent chasing clients.
The current increase in the cost of doing business is pushing companies to look at innovating and improving efficiency to overcome challenges and pursue growth.
Prioritising staff time is key to remaining competitive and increasing productivity, keeping costs down. With 2 in 5 businesses stating late payments are more of a problem for their business now than they were a year ago, finding ways to reduce staff time spent chasing unpaid invoices is crucial.
Invoice factoring
Invoice factoring can be used to reclaim time by outsourcing the collection of payments to your invoice finance provider.
With invoice factoring you can release up to 90% of the value of unpaid invoices, with access to a relationship manager and expert advice.
A credit management team can look after the chasing of late payments from clients, leaving more time for investment in upskilling or training staff. It will allow employees to refocus their energy and prioritise activity that directly contributes to business development and success.
Using invoice finance allows immediate cashflow into a business, either to manage day to day requirements, investment or to pursue growth. Combining this with a reduction in administrative burden for staff opens opportunities for SMEs looking to explore new avenues of productivity.
