How to de-risk your supply chain and optimise the credit- to-cash process
Adrian Floate
1 February - 5 min read
As published in the Australian Institute of Credit Management January 2023 Issue.
Many companies benefited from a decade of low-interest rates and the fiscal policy measures put in place to minimise the impacts of COVID-19. However, these measures eventually had to taper. Throughout 2022 the Reserve Bank of Australia (RBA) raised interest rates by 300 basis points, finishing with a 25-basis point hike to 3.10 per cent at the December meeting.
Related Articles
The popularity of eCommerce has exploded over the last three years, with the option to order almost anything online proving popular for retail and wholesale customers. In Australia alone, eCommerce sales were worth $62 billion in 2022, up 8.9 per cent from 2021.
With product supply issues, interest rates rising and the likelihood of a recession growing, SMEs need to proactively secure finance facilities. And they can’t rely on the big banks to help them.
Having the ability to get paid quickly is key for any business, and yet late invoice payments continue to be a burden for many Australian businesses, costing around $1.1 billion per year.
