With interest rates and prices on the rise, it’s a challenging time for any business. Late payments exacerbate any underlying problems in your business, prevent growth, and can even impact your health and wellbeing.

According to research by Barclays, three in five SMEs are currently waiting on money tied up in unpaid invoices. Late or missed payments cause cash flow instability and can directly affect a business’ bottom line.

How late payments are holding back your business

From hiring talent and investing in growth to your own mental health, late payments and cash flow problems can hold back your business in more ways than one.

Growing your business usually means spending on things like new technology, marketing and advertising. You also need a talented team in your corner. All of these costs money — money that’s scarce when you have a backlog of late payments and unpaid invoices.

Not only do late payments affect the business’s income, but they can also negatively impact your own mental health. Some 39% of SME owners say their mental well-being has suffered as a result of late payments, and 34% have had sleepless nights.

At Anvil Business Advisory we can take charge of managing your business debts, leaving you to focus on growing your business and getting some much needed sleep at night.

Are late payments part of the new normal?

While some businesses thrived during the pandemic, others just about survived. Not only were businesses facing the stress of changing restrictions, loans, and closures from the pandemic, but they were also facing increases in late payments. Almost half (40%) of SMEs say that because of the pandemic they are more likely to experience payment delays.

As a knock-on effect of not being paid, you might also be struggling to make payments to your creditors. Creditor pressure and disputes aren't to be ignored, not only can it put suppliers off working with you in the future, but customers are known to boycott late-paying businesses too.

We can help.

We can work with you to put forward a proposal to your creditors, taking the pressure off you and giving your creditors peace of mind. Having someone else manage this for you reduces the stress, so you can focus on other areas of your business that need attention.