Receivables

07 June 2016 Categories: Gerry's Corner

One of the toughest things to do in small Business is to collect receivables. It is our money, we have worked for it yet it is so difficult to ask for it when the job is done. In all the years I have been in Business I have to admit I have been very fortunate. Maybe it is because I choose my clients, maybe it is because I make my terms very clear at the outset and in writing, maybe I get to know the financial contact in Accounting or maybe I have just been lucky, for whatever reason it has not been a big issue for me however it is getting harder to get paid in a reasonable time. Big Business in particular has changed their accounting practices where they only pay suppliers in 60 days or 90 days or longer. This is my paycheck and I have to wait this long to get paid? It is ridiculous. Does anybody that works for a company wait more than 2 weeks for a paycheck? I understand the reason for these accounting practices but is it fair to treat the little guy the same way. We need our money too, to pay bills and feed the family. There should be more discretion given in paying suppliers rather than applying general rules. I’m just saying!