Wonder how many agencies pushing 60 day terms will sign up to this?

[BolshieBastard]

There are plenty contractors out there who don't even read their contracts once they've checked the rate.

I agree which is why I asked the agency in question about their payment terms then laughed at them when the said 60 days.

They actually said 'oh dont worry, we dont put you straight on to 60 days. We pay the first invoice 30 days after 1st billing period, the second on 45 day and the third onwards on 60 days.'

Poor souls couldnt understand why I was laughing at them.

[rootsnall]

And yes, there are some contractors out there who will sign up to 60 day terms.

There are plenty contractors out there who don't even read their contracts once they've checked the rate.

[Safe Collections]

All very true but, if there's no voluntary agreement in place (as a start) or, businesses dont start pushing back regarding unreasonable LPT's then, those terms will get longer and longer.

Agreed, but we don't think a voluntary code is anything but a nice PR touch for those that sign up. If anything has had an impact on late payment it has (in our view) been the introduction of late payment legislation that started way back in 1998.

An update of which is due to be introduced later this year. Hopefully we wont follow the lead of the Irish and enshrine 60 days as the default payment term!

The number of agencies pushing 60 days is few at the moment but they are out there.

We would say that 60 day terms are less onerous than the increase of the "we pay when we get paid" terms we are increasingly seeing in agency contracts... Get caught by one of those and it can be nigh on impossible to get paid!

[BolshieBastard]

We can (but wont) name at least a dozen signatories to the PPC who we know for a fact regularly delay payments to 60 days at the bare minimum.

The code is voluntary and exists without any means of complaining should a signatory decide to ignore it

Plus it's difficult to "go to war" on late payment, when as a government you recently launched a scheme to delay payments even further, at the suppliers own cost! (link to our blog post).

All very true but, if there's no voluntary agreement in place (as a start) or, businesses dont start pushing back regarding unreasonable LPT's then, those terms will get longer and longer.

The number of agencies pushing 60 days is few at the moment but they are out there.

[Safe Collections]

We can (but wont) name at least a dozen signatories to the PPC who we know for a fact regularly delay payments to 60 days at the bare minimum.

The code is voluntary and exists without any means of complaining should a signatory decide to ignore it

Plus it's difficult to "go to war" on late payment, when as a government you recently launched a scheme to delay payments even further, at the suppliers own cost! (link to our blog post).

[BolshieBastard]

There are agencies on 60 day payment terms? really? wow

I personally wouldn't even consider signing up to that.

Neither did I. I negotiated their terms down to 14 days.

And yes, there are some contractors out there who will sign up to 60 day terms.

[Mr.Whippy]

There are agencies on 60 day payment terms? really? wow

I personally wouldn't even consider signing up to that.

[BolshieBastard]

Firms join push for late payers crackdown - Telegraph

Insurers Aviva and Admiral and online price comparison firm, Moneysupermarket.com, were among the businesses that have now agreed to sign the Prompt Payment Code, a voluntary agreement to promote good payment practices.

Philip King, chief executive of the Institute of Credit Management, which runs the PPC, said there had been a “significant increase” in interest in the code among listed companies since The Sunday Telegraph announced its initiative to tackle late payments, which have reached record highs of more than £36.5bn.

The business minister, Michael Fallon, pledged to “go to war” on the issue last weekend, and has written to the chief executives of all FTSE 350 companies threatening to “name and shame” those that failed to sign the PPC.

Companies that have yet to join the code include Unilever, WM Morrison, WH Smith and Home Retail Group, owner of Argos.

Scores of business owners have contacted this newspaper to support the drive to stamp out poor payment practices. Many shared their own difficulties in getting paid for completed work, with larger companies typically the worst culprits.

The owner of a media business, who asked not to be named, said his clients are “booming” yet insist on payment terms of at least 60 days.

“This should be unacceptable. Huge, profitable companies are clearly exploiting their purchasing power to demand credit from small suppliers who often have very tight cashflow. Small companies suffer. This is both morally wrong and bad for the economy.”

He said the fact that one FTSE 100 customer claimed to have an “exemplary” payment record of “between 40 and 60 days shows just how bad the situation has become”.