Suppliers Taking Longer to Pay
Being a supplier for a large company seems like a great opportunity for a small business, but when the big company isn’t paying on time it can turn into a burden. According to recent data from the Ewing Marion Kauffman Foundation 14% of small business owners cite untimely payments as their top problem.
Experion found that the time suppliers have to wait past the agreed upon payment date has increased 27% this past year, from 6 days to almost 8 days.
A study by the NFIB found that small businesses are waiting 46 days on average to be paid, 10 days longer than they were waiting in 2006.
Many small businesses rely on payments from large businesses. If your small business does, what do you do when the big companies aren’t paying you?