3000 Northern Ireland businesses facing cashflow problems

By Gillian Crotty

New figures suggest that 3,643 businesses in Northern Ireland are facing financial difficulties, with 56 being classified as being in critical financial distress.

The statistics produced by Begbies Traynor suggest that many Northern Ireland businesses are still struggling to get a handle on their cash flow problems, despite the economy and business activity seemingly having improved over the past months. It takes time for an increase in a company's output to filter down to its' balance sheet, but it would appear that many local businesses are against the clock when it comes to carrying their survival of the recession years on into 2014.

Executive chairman of Begbies Traynor Group, Ric Traynor, says many businesses are suffering as a result of "funding, management or accumulated debt issues", and warns that 2014 will be the year that these businesses will "either sort out their problems, and prosper, or finally reach the end of the road".

Many small to medium sized businesses in Northern Ireland were forced to consider their debt recovery processes during the years following the economic crisis, as prompt customer payment was essential to maintaining a healthy cash flow. That will have involved stepping up their internal customer chase procedures, and for larger or older debts, an external debt recovery service may have been used.

Chasing customer debt can often be a time consuming task, a commodity many small businesses don't have. It is worth considering the rewards of a low cost debt recovery service, and an initial solicitor letter chasing a debt from a defaulting customer can in many cases be enough to secure payment.

Click here to read information about the Wilson Nesbitt solicitor debt recovery service, or call us on 0800 840 9291.