Every Friday, we select a few articles from the week that we think are worth your time as a construction financial manager (CFM). We look for compelling articles not only about financial topics, but about business, technology, and life, that challenges you to think about your role as a CFM in different ways.
Taulia, a cloud-based invoice and payment company, surveyed more than 3,500 suppliers to learn about cash flow needs. The striking, though not surprising, results indicate that suppliers struggle to obtain timely payment from their best and largest customers.
- 47% of respondents said they were paid late
- Late payments averaged 9.3 days
- 25% of respondents waited more than 40 days to be paid
- 20% of suppliers accepted pay discounts, even after the agreed early payment date had passed
The sad reality, as the survey indicates, is that smaller supply companies are forced to take out high-rate loans in order to make ends meet, while many larger companies with cash reserves and access to capital stall on payments. One solution suppliers have found is to accept pay discounts in exchange for earlier payment (the survey results back this up).
Another solution is better communication between suppliers and their customers. And yet another solution is to overcome outdated B2B payment systems, a solution that Taulia is working hard to provide.
from Funding Gates
Ever find yourself struggling to check up on work while on the go? Need to see if a payment you were expecting came through, or take a look at cash flow, while on the bus, train, or in an Uber?
This handy list of apps and tools, prepared by A/R management company Funding Gates, is useful for anybody managing finances and payments from the road. Categories include:
- Cloud accounting
- Mobile banking
- Mobile payment processing
- Expense Management
- Inventory tracking