Posts by Paul Christensen
On Monday, the government announced it was strengthening the Prompt Payment Code (PPC), mandating that its signatories must pay suppliers within 30 days, rather than the previous 60.
While this is a welcome step in the right direction, there is still a long way to go in addressing the chronic issue of slow payments. A 30-day payment period is still 30 days too long for many small businesses struggling to stay afloat.
As the Government announces new enhanced powers for the Small Business Commissioner to tackle late payments, Paul Christensen, CEO and co-founder of Previse, points out that, unless these are coupled with reform to Prompt Payment reporting, they are unlikely to lead to practical changes for SME suppliers.
Many of the most progressive businesses are enthusiastic about putting an end to slow supplier payments. However, says Paul Christensen, CEO and co-founder of Previse, the archaic nature of current payment practices mean speeding up existing processes is a futile task. Firms need to completely rethink how their suppliers get paid to meet their ethical obligations.
Supply chain finance (SCF) is useful in many ways. One thing it is not, however, argues Paul Christensen, CEO and co-founder of Previse, is a solution to slow payment terms for smaller suppliers. Until we recognise this, suppliers and buyers alike will continue to pay the costs.
A few weeks ago, Sears, once America’s most iconic retailer, filed for Chapter 11 bankruptcy. The company, which survived two world wars and the Great Depression, suffered a 50% drop in sales since 2014.
We are very pleased to have been selected by the UK Department of International Trade to represent the UK fintech sector at Sibos 2018 which takes place next week.
The tools and technology now exist to solve the late payments problem. It’s time the public and private sectors collaborate to get suppliers paid instantly, setting a new standard for businesses all over the globe, argues Paul Christensen, co-founder and CEO of Previse.