Late payments create pressure on cash flow, supplier relationships, and operational efficiency. As economic uncertainty continues, many organizations struggle with delayed approvals, invoice disputes, inconsistent processes, and growing administrative overhead.
Delays are often caused by overly complex workflows, slow approval cycles, unclear responsibilities, and disconnected systems.
Incorrectly addressed invoices, incomplete information, missing purchase orders, and noncompliant invoice formats frequently delay validation and payment.
Many companies are using supplier credit as a cash-management tool amid economic uncertainty, inflation, and slower growth.
While the specifics vary between countries and sectors, lengthy delays are becoming more common.
Against a backdrop of moderate growth and persistent economic uncertainty, supplier credit is once
again becoming a cash management tool for many companies.
The French Payment Terms Observatory identified five best practices—which do not claim to be exhaustive—are fully transposable and provide a relevant framework for medium-sized and large companies in all sectors.
Enter a commercial relationship built on solid, transparent foundations.
Contractual and billing terms are often insufficiently defined and poorly formalized, leading to disputes and delays from the outset of commercial relationships.
Formalize the order.
The absence of precise purchase orders slows down invoice validation and increases the risk of disputes.
Validate non-po expenses.
Validating services expenses often causes delays, especially when there’s no clear process and managers aren’t identified.
Appropriately capture and record invoices.
Processing delays are often caused by invoices that are incorrectly addressed, incomplete, or do not comply with formal requirements.
Improve the payment process.
Payments are often delayed by decentralized processes, late approvals, or a lack of follow-up. And suppliers sometimes have to chase up payments by email or phone, which disperses information and lengthens processing times.
Late payments are increasing across Europe and the UK, creating pressure on cash flow, supplier relationships, and operational efficiency. As economic uncertainty continues, many organizations are struggling with delayed approvals, invoice disputes, inconsistent processes, and growing administrative overhead.
This report explores the latest findings on payment delays and outlines practical ways finance teams can improve payment performance.
With no file uploads, create and track payments directly from Medius AP Automation with built-in reconciliation.
Direct bank execution enables straight-through processing and removes the need for middleware or manual uploads. With multi-currency and multi-country support, pay any supplier, anywhere with automatic bank routing.
Built-in compliance and fraud checks aligned with your AP policy before money moves reduces risk of fraud. Audit-ready reporting ensures an audit trail for every payment.
