Almost Half of UK SMEs are Frustrated by Delayed Payments via Business Bank Accounts
Majority of small businesses believe faster payments are crucial to their business success
The findings reveal a number of ways in which delayed business payments are negatively affecting wider business success:
- 33 percent of respondents say late payments affect their ability to meet financial obligations on time
- 17 percent feel late payments have a negative impact on staff up-keep including salaries, expense reimbursement and recruitment
- 10 percent note access to finance is limited for business requirements such as equipment, product development, and research
Given the negative impact of payment delays, it is not surprising that almost all small businesses surveyed (95%) believe real-time payments would be useful to them. In fact, over a quarter of respondents (29%) highlight faster payments as the most crucial banking service to business success in the current economic environment.
"For small businesses, delayed and
unpredictable cash flow can significantly affect their success. Our
research presents a great opportunity for banks working with these
businesses to demonstrate the value of their real-time payments
offering. This will not only help them grow in the medium-term, but will
also strengthen the overall economy in the future."
The majority of businesses prefer bank transfer (67%) as their method of
payment from customers. Bank transfer is supported by Faster
Payments, the only
Since its launch in 2008, the Faster Payments service has been made
available to 52 million current account holders in the
Amongst new financial products banks are now offering their customers, SMEs say that mobile and internet banking (64%) have had the most positive impact on their business, according to the survey. However, the majority of SMEs feel that many of the new products offered, such as alternative financing (86%), P2P payments (89%), biometric recognition (91%) and contactless (86%), have had minimal effect on their business so far.
Methodology
All figures, unless otherwise stated, are from
YouGov Plc. Total sample size was 100 SMEs. Fieldwork was undertaken
About
©
ACI, ACI Payment Systems, the
ACI logo and all ACI product names are trademarks or registered
trademarks of
Product roadmaps are for informational purposes only and may not be incorporated into a contract or agreement. The development release and timing of future product releases remains at ACI's sole discretion. ACI is providing the following information in accordance with ACI's standard product communication policies. Any resulting features, functionality, and enhancements or timing of release of such features, functionality, and enhancements are at the sole discretion of ACI and may be modified without notice. All product roadmap or other similar information does not represent a commitment to deliver any material, code, or functionality, and should not be relied upon in making a purchasing decision.
View source version on businesswire.com: http://www.businesswire.com/news/home/20160412005141/en/
Media Contact:
katrin.boettger@aciworldwide.com
Source:
News Provided by Acquire Media