Small Business Unpaid Fees UK

Small Business Unpaid Fees UK

The United Kingdom is home to around 5.9 million small businesses from all industry sectors.

The business transactions of these generate a large percentage of money for the country’s economy every year.

Small business owners face challenges daily and when goods or services are unpaid this can make matters worse.

A portion of these may not have the resources to tackle late payments and so may struggle to formulate an outcome.

The Credit Protection Association noted that around £23.4 billion worth of late invoices is owed to SMEs across Britain.

This is a ghastly figure and suggests the real damage unpaid fees can do to a businesses cash flow and ultimate survival.

Are you the owner of a small business that is suffering from unpaid fees in the UK?

If so, you may be unaware of how to negate the effects of a problematic customer who hasn’t paid.

In this article, our team of experts have put together tips to help the avoidance of Small Business Unpaid Fees UK.

Payment Terms For Small Business Unpaid Fees – UK

There are a plethora of ways in which a small business can implement comprehensive payment strategies to ensure they are paid.

Much like the Bank of England base rate, preventative payment practices will incentivise paying back the money owed.

One of the main ways to achieve prompt payment is by setting up payment terms before any works are to be carried out.

These will set out when the invoice is due to be paid, which is most commonly between 30 and 60 days.

Payment terms ensure that the business is paid on time and that unpaid invoices do not materialize.

You can also include caveats that state you can claim interest on any late payments.

These are to be signed and agreed on by both parties, which will formalise a mutual agreement.

A credit control team will be able to chase payment if the customer hasn’t paid after 30 days or 60 days.

Advice agencies, such as the Small Business Commissioner, will second this information.

Implementing payment terms is the best way to secure payment and decrease the chances of a customer not paying you.

Debt Collection for Small Business Unpaid Fees – UK

If you have already tried the above methods and still have small business unpaid fees, you need to speak to the professionals.

Frontline Collections are one such agency and are the UK’s leaders for unpaid fees debt recovery.

Since 2005, they have collected debts for both the private and public sectors in England and Wales.

Despite the perception that debt recovery costs are expensive, we work with our clients to perform an affordable service.

Contact our team today to kick-start the collection of your small business unpaid fees.