Survey of 500 UK SMEs reveals ongoing Covid-19 impact

Industry News | 21/08/20

The majority (55%) of UK SMEs are being paid later as a result of the pandemic in a trend which is threatening the economic recovery, according to Bibby Financial Services (BFS).
More than a third (36%) of SMEs have seen payment times increase by more than three weeks, while 28 per cent have seen an increase in bad debt. More than one in 10 (12%) have customers who refuse outright to pay money owed.

As the economy begins to restart, these financial pressures are hindering the ability of SMEs to get back to business. 14 per cent of SMEs have been forced to turn down new business as the money they need to buy raw materials is wrapped up in unpaid invoices, and one in 10 (11%) have had to keep staff on furlough who they need to bring back to complete work.

Source: Bibby Financial Services