Coaching and Skills Development

Analysis of Payment Behaviour in the coaching and skills development Sector

Having analysed the payment data of 27 companies within the coaching and skills development sector, the evidence suggests a highly disciplined and stable financial landscape. The central tendency metrics reveal a robust adherence to standard commercial terms, with an average payment time of 28.7 days and a median of 28 days. This negligible difference between the mean and the median indicates a symmetrical distribution, suggesting that the sector’s payment behaviour is consistent and not heavily skewed by extreme outliers. Consequently, suppliers dealing with this sector can reasonably anticipate settlement within a standard monthly cycle, a reassuring sign of liquidity and operational efficiency.

A detailed examination of the distribution statistics further reinforces the view that this sector operates with high predictability. The data shows that 63.0% of the companies analysed fall within the ‘Fast’ payment category (0–30 days), whilst a further 29.6% are classified as ‘Moderate’ (31–45 days). Remarkably, only two companies (7.4%) drifted into the ‘Slow’ category (46–60 days), and there were zero instances of ‘Very Slow’ or ‘Critical’ payments exceeding 60 days. The interquartile range of 8 days—spanning from 24 days at the 25th percentile to 32 days at the 75th percentile—demonstrates a tight clustering around the centre of the dataset. Furthermore, the standard deviation of 10.6 days is relatively low, indicating that there is little volatility amongst the sampled firms.

Despite the swift average payment times, it is important to realise that speed does not strictly equate to contractual compliance. Whilst 67.5% of payments are settled within 30 days, the performance breakdown highlights that 24.2% of payments are technically recorded as late. This discrepancy suggests that whilst companies are solvent and paying reasonably quickly, they may be missing shorter contractual deadlines or processing invoices slightly beyond agreed terms. However, credit risk professionals should view this favourably compared to other industries; the slowest payer in the sample settled at 58 days, and the fastest at just 3 days. The complete absence of companies paying beyond 90 days signals a distinct lack of bad debt risk within this sample group.

Geographically, the sample is heavily weighted towards London and the South East, which collectively account for over 50% of the businesses analysed. This suggests that the financial administration of the coaching and skills development sector is largely centralised within these major economic hubs. In summary, the sector displays healthy payment habits. The combination of a low average payment time, a narrow interquartile range, and the absence of critical delays indicates that businesses in this sector organise their cash flow effectively. For creditors and suppliers, the coaching and skills development sector presents a stable, low-risk profile where payment delays, when they do occur, are marginal rather than systemic.