Late payments a headache for Yorkshire businesses (From York Press)

Late payments a headache for Yorkshire businesses

10:47am Friday 3rd September 2010 in

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AS MANY as 59 per cent of businesses in Yorkshire are not getting paid on time.

That is the conclusion of an independently-commissioned survey which also finds that 23 per cent say they are now more likely to accept excuses from late paying customers than before the recession hit.

And, it discovers, five per cent of business people in the region would avoid chasing debts because they are uncomfortable doing it.

The research, commissioned by positivecollections.co.uk, the online debt recovery service for businesses and consumers, surveyed 260 business professionals across a number of industry sectors.

It found that 18 per cent of businesses in Yorkshire would try to chase debts but avoid expensive legal debt collection enforcement; and that small to medium sized businesses across the UK are the most prone to suffer from late payers, with 74 per cent stating that they are likely to accept late payment excuses. David Green, chief executive of positive collections.co.uk, said: “The fact that so many businesses in the UK, especially in Yorkshire, have become accepting of this ‘late payment culture’ is certainly a cause for concern as this has implications on the whole business community and economy.

“However it is the small and medium-sized enterprises that take the strain and in the worst case scenario have to fold, although the survey does highlight that micro businesses are less likely to suffer.”

He urged businesses not to accept late payments as “inevitable” or the “norm”.