Business boss in call to play fair over payments
The chief executive of the Entrepreneurs’ Forum has written an open letter to North East businesses, urging them to treat one another with consideration during the current coronavirus crisis.
Jonathan Lamb says some members of the Forum have reported invoices are going unpaid, and his letter, says it is now more important than ever that relationships established over many years within the North East supply chain are not allowed to disintegrate.
Mr Lamb said: “Supply chain companies play an important role in the region’s economy and we urge businesses, both large and small, to treat each other with consideration in these challenging times.
“It is vital that companies continue to communicate, adapt whenever necessary, and honour their commitments.
“North East entrepreneurs and business leaders must unite to ensure we work together to get through this.
“Most of all businesses must communicate to see how they can support each other.”
He added: “Before an invoice goes unpaid, perhaps the terms can be renegotiated to ensure a proportion of the sum is released.
“Alternatively, it may be that payment can be exchanged for the secondment of staff or provision of alternative goods or services.”
Recent statistics suggest that three quarters of SMEs are already waiting a month beyond agreed terms.
He added: “The North East has a long established reputation for its innovation, collaborative spirit and ‘can-do’ attitude.
“We need to work together in the coming months.”