Yesterday Kate Carnell, the Small Business and Family Enterprise Ombudsman, took on the fight against late payments for small business.
“Currently, there’s billions of dollars owing to small businesses as a result of outstanding invoices. This money needs to be freed-up so mum-and-dad operators can get on with the job of simply running their small business,” Carnell said at the launch of the Victorian Small Business Festival.
This is fantastic news as late payments is major problem for small business. Australian small business are collectively owed $26 billion – that’s around $13,000 each. Small businesses are spending 3.9 million working weeks – at a total cost of $13 billion – chasing these late payments each year.
Bringing it down to the coal face, 21% of small business risk closure if faced with a late payment. That means the average small business is wasting 83 hours – over two working weeks – chasing payments and at constant risk of closing down. This places a huge stress and strain, not only on their bank accounts but their mental health, relationships and family.
Small business owners are a passionate lot – passionate about their product, their customers and how they how run their business. Many do it because they feel a calling to create, to break the status quo and add value to our world. But let’s be honest, if you aren’t getting paid on time – you’re in trouble. This list of tips to help you eliminate late payments (I’ve left out ‘have a contract’, as you already know that one).
Five Tips to Help Small Businesses Eliminate Late Payments
By: Luke Hally
Yesterday Kate Carnell, the Small Business and Family Enterprise Ombudsman, took on the fight against late payments for small business.
“Currently, there’s billions of dollars owing to small businesses as a result of outstanding invoices. This money needs to be freed-up so mum-and-dad operators can get on with the job of simply running their small business,” Carnell said at the launch of the Victorian Small Business Festival.
This is fantastic news as late payments is major problem for small business. Australian small business are collectively owed $26 billion – that’s around $13,000 each. Small businesses are spending 3.9 million working weeks – at a total cost of $13 billion – chasing these late payments each year.
Bringing it down to the coal face, 21% of small business risk closure if faced with a late payment. That means the average small business is wasting 83 hours – over two working weeks – chasing payments and at constant risk of closing down. This places a huge stress and strain, not only on their bank accounts but their mental health, relationships and family.
Small business owners are a passionate lot – passionate about their product, their customers and how they how run their business. Many do it because they feel a calling to create, to break the status quo and add value to our world. But let’s be honest, if you aren’t getting paid on time – you’re in trouble. This list of tips to help you eliminate late payments (I’ve left out ‘have a contract’, as you already know that one).
Yesterday Kate Carnell, the Small Business and Family Enterprise Ombudsman, took on the fight against late payments for small business.
“Currently, there’s billions of dollars owing to small businesses as a result of outstanding invoices. This money needs to be freed-up so mum-and-dad operators can get on with the job of simply running their small business,” Carnell said at the launch of the Victorian Small Business Festival.
This is fantastic news as late payments is major problem for small business. Australian small business are collectively owed $26 billion – that’s around $13,000 each. Small businesses are spending 3.9 million working weeks – at a total cost of $13 billion – chasing these late payments each year.
Bringing it down to the coal face, 21% of small business risk closure if faced with a late payment. That means the average small business is wasting 83 hours – over two working weeks – chasing payments and at constant risk of closing down. This places a huge stress and strain, not only on their bank accounts but their mental health, relationships and family.
Small business owners are a passionate lot – passionate about their product, their customers and how they how run their business. Many do it because they feel a calling to create, to break the status quo and add value to our world. But let’s be honest, if you aren’t getting paid on time – you’re in trouble. This list of tips to help you eliminate late payments (I’ve left out ‘have a contract’, as you already know that one).