Also echoes into the future
Mar 14, 2024 8:00:53 GMT
Post by account_disabled on Mar 14, 2024 8:00:53 GMT
Failure to repay a debt for more than days is related to the concept of payment impasse. According to various studies approximately Polish companies claim to have late payment issues. Reasons for payment backlogs include debtors accustomed to lending to sellers, which is necessary to compete in the market forcing larger recipients to lend, economic conditions, longer court enforcement periods, and tax burdens. Of course the impact of the payment backlog is negative. These include the inability to pay off debts on time, which will bring a series of negative consequences to subsequent companies, as well as the backlog of payment for subsequent companies.
The next consequence is the incurrence of additional costs related to overdue receivables, receivables collection or financial verification of the contractor by specialized entities. Unfortunately, according to AWB Directory data provided by the Ministry of Entrepreneurship and Technology, the costs incurred by micro entities due to payment backlogs are higher while for large enterprises it is a smaller percentage of total costs. Another impact of the backlog is that it limits investment and the launch of new products, hindering the development of enterprises. The reason is that investments are highly flexible and can be postponed if funds are not available. A final impact of payment.
Backlogs worth mentioning is the risk of reputational damage. In an international context, frequent delays in payments may lead to restrictions in cooperation between foreign enterprises and Polish companies. Changes in Certain Acts to Reduce Payment Backlogs In an effort to minimize negative impacts, the Bill to amend certain Acts to reduce payment backlogs was introduced. Its most important changes include the maximum payment period for public entities being days. The period is calculated from the date of delivery of the invoice, except for medical institutions. The so-called maximum payment period is days Asymmetric business relationships.
The next consequence is the incurrence of additional costs related to overdue receivables, receivables collection or financial verification of the contractor by specialized entities. Unfortunately, according to AWB Directory data provided by the Ministry of Entrepreneurship and Technology, the costs incurred by micro entities due to payment backlogs are higher while for large enterprises it is a smaller percentage of total costs. Another impact of the backlog is that it limits investment and the launch of new products, hindering the development of enterprises. The reason is that investments are highly flexible and can be postponed if funds are not available. A final impact of payment.
Backlogs worth mentioning is the risk of reputational damage. In an international context, frequent delays in payments may lead to restrictions in cooperation between foreign enterprises and Polish companies. Changes in Certain Acts to Reduce Payment Backlogs In an effort to minimize negative impacts, the Bill to amend certain Acts to reduce payment backlogs was introduced. Its most important changes include the maximum payment period for public entities being days. The period is calculated from the date of delivery of the invoice, except for medical institutions. The so-called maximum payment period is days Asymmetric business relationships.