There are many different qualities we look for in an employer. Cool company logo, corporate perks and… comfy chairs. But there’s one thing, above all else, that really matters - that they pay us.
Because without being paid on time, things can swiftly spiral downwards. We struggle to pay the mortgage, the monthly bills, the loan repayments.
We can’t afford that weekend away we planned.
We may be forced to dip into our savings or to break overdraft limits. It’s a costly and stressful situation; something that no worker would find acceptable.
And yet, these are exactly the kind of problems faced on a daily basis by businesses throughout the UK. The late payment for delivered goods and services has become a major problem.
The effect of late payments
A study by Bacs found that 3 out of 4 UK businesses report having to deal with regular late payments. And the smaller your organisation, the more serious the consequences.
It’s estimated that the additional costs racked up because of late payments amount to around £8.2 billion each year for British businesses - that’s £677 per month for each affected company.
To get to grips with the issue, the UK Government have reduced the time public sector organisations have to pay out from 60 to 30 days.
Business minister Matthew Hancock said:
We must change UK payment culture. Unacceptable payment terms must stop.
Why should long payment terms be deemed acceptable business practice here when they are not in many of our major competitors, like Germany?
But companies also now have much better ways to protect themselves against the scourge of the late payers.
Protect your company from late payments
These digital systems allow a manager to track, schedule and monitor the progress of field workers in real-time.
It removes the need for any cumbersome paper-based processes with invoices being collated and automatically generated moments after a task or service has been delivered.
It provides a much faster, simpler and more efficient process, meaning that customers and clients will receive their invoice in minutes rather than days.
Studies have shown that automatic systems are able to reduce the average time taken to get paid by as much as 15 days. They are also effective in cutting the rate of non-payment.
Using a digital system such as MyMobileWorkers can never guarantee that all invoices will be paid on time. What it does do, however, is to help minimise the risks… and prevent a few extra grey hairs from appearing.