Late payments is the problem most small business insurance holders would like the upcoming Budget to address, it has been claimed.
According to HSBC Commercial Banking, two million small companies say this is the issue that concerns them the most, leading the organisation to recommend they have the correct financial procedures in place to protect cashflow.
The group noted that just ten per cent of business insurance holders use invoice finance, despite this solution resulting in cash able to be freed up with one day of the invoice being issued, in most cases.
In addition, the organisation revealed that it has launched an online video to present advice from firms, financial specialists and economists to business insurance customers.
Noel Quinn, HSBC's head of commercial banking UK, added: "We are urging businesses to ensure they have the right financial tools in place and are seeking appropriate advice to help them weather the storm. Ultimately a healthy cashflow is critical in a downturn."
Last month, the Federation of Small Businesses called for tomorrow's Budget to address the problems of poor cashflow and tight access to finance which are affecting UK companies.
