Ben, Bespoke Furniture Manufacturer, Birmingham.

• Sector: Manufacturing (Bespoke Furniture)

• Business Size: Small, 12 employees

• Location: Birmingham

• Experience: 15 years in the industry

• Impact: Corporate customers delaying payments by 90 days has made it hard for Ben to buy materials. He’s had to turn down new orders due to lack of cash flow.

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“I’ve been making bespoke furniture for 15 years, and it’s a craft I take pride in. Most of my clients are individuals or small businesses, but now and then, I get a large corporate order. Last year, I worked with an office design firm on a project that required a dozen custom desks and shelving units. It was a huge opportunity, but they didn’t pay their invoice for 90 days after delivery.

In the meantime, I had to front the cost of materials, which are expensive for bespoke furniture. Ash and walnut aren’t cheap, and I usually pay my suppliers upfront. I didn’t have the cash flow to buy stock for my next projects, which meant turning down two jobs I would’ve loved to take on. It’s gutting because you don’t want to say no to loyal customers.

What made it worse was the silence. I’d email and call, but they’d just say, ‘It’s with accounts.’ When they finally paid, they acted like it was no big deal. By then, I’d already taken out a credit line to keep things running. The interest on that cost me more than I’d made from the job.

Now, I’m stricter about payment terms. I insist on staged payments for big jobs and won’t start production until I’ve received a deposit. It’s not ideal, but I can’t let late payments jeopardise my business.”