One challenge of SMEs is securing financial support and investment from banks. We've just been reading an article online about how the government compound this issue. Banks will lend money, in theory, to SMEs who can show strong financial stability. One factor that can cause instability is late payments. The article suggested that, again in theory, public secotr organisations should be paying their suppliers within the agreed payment terms. It seems, accordign to the article, that this is not the case.
So - as the article says "If the government wants to improve lending to SMEs, it should start paying them on time."
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