GOV.UK
2 AGRICULTURE LIMITED
Company number: SC156515
Reporting period:
1 July 2018
to 31 December 2018
This report was filed on 31 January 2019
and approved by Gavin Berry
Payment statistics
Average time taken to pay invoices: 52 days
Invoices paid:
- within 30 days: 18%
- in 31 to 60 days: 19%
- in 61 days or more: 64%
Invoices due but not paid within agreed terms: 65 %
Payment terms
Shortest standard payment period
28 days
Longest standard payment period
70 days
Standard payment terms
70 days for Raw Materials and 28 days for all other
Were there any changes to the standard payment terms in the reporting period?
No
Maximum contractual payment period agreed
90 days
Any other information about payment terms
2 Agriculture operates a weekly payment run on a Wednesday each week and captures all invoices due for payment to the Friday of that week. Payment is made by BACS and supplier receives payment on the Friday. It is not practical to process daily payment runs, therefore invoices could be up to 6 days overdue
Our average agreed payment terms verses actual clearly demonstrates 2 Agriculture is a prompt payer
Dispute resolution process
Invoices are matched on receipt if the supplier has stated the correct purchase order or reference number and the quantities and price match the details on our system. Should the invoice and order not match, the Purchase Ledger Manager will liase with the relevant site management to confirm the correct information and work with the supplier to enable the correct payment to be made. In the event the Purchase Ledger Manager is not able to agree with the supplier, the dispute is passed to the Finance Director. Upon resolution the invoice is placed on the next available payment run. Through the process of statement reconciliations, disputes relating to missing invoices are identified before they become overdue. Remittance advices are sent via e-mail or post when payment is made. This is in order for the supplier to match the payment received against the same invoices as 2 Agriculture has matched to and avoids disputes about mis-matching of payments.
Other payment information
Has this business signed up to a code of conduct or standards on payment practices? If so, which?
For example, signatories to The Prompt Payment Code must commit to paying 95% of their invoices within 60 days.No
Does this business offer e-invoicing in relation to qualifying contracts? This is where suppliers can electronically submit and track invoices. It’s not just allowing suppliers to email them an invoice.
No
Does this business offer supply chain finance? This is where a supplier who has submitted an invoice can be paid by a third-party finance provider earlier than the agreed payment date. The business would then pay the finance provider the invoiced sum.
No
Under its payment practices and policies, can this business deduct sums from payments under qualifying contracts as a charge for remaining on a supplier list?
No
During the reporting period, did the business deduct sums from payments as a charge for remaining on a supplier list?
No