HYDRAFORCE HYDRAULICS LIMITED
Company number: 02286591
Reporting period:
1 July 2019 to 31 December 2019
Report filed on:
27 January 2020
Approved by:
Tony Brown
Payment statistics
Average time taken to pay invoices: 43 days
Invoices paid:
- within 30 days: 25%
- in 31 to 60 days: 61%
- in 61 days or more: 14%
Late and disputed:
- payments due in the reporting period which have not been paid within the agreed period: 49%
Payment terms
Shortest standard payment periods
31 days
Longest standard payment period
62 days
Standard payment terms
The majority of the payment terms contained within the MRP system are 'either' 31 days from End of Month (38% of vendors) and 62 days from End of Month (62% of vendors). This means that an invoice dated/received on the 1st day of the month could take upto 62 days for payment for 31 days EoM vendors or 92 days for payment for 62 days EoM vendors. The main invoice payment run is working day 7 of the month meaning that most suppliers are paid just after the End of Month terms.
Were there any changes to the standard payment terms in the reporting period?
No
Were suppliers notified or consulted about these changes before they were made?
N/A
Maximum contractual payment period agreed
92 days
The maximum payment terms are 62 days End of Month, this means that an invoice dated/received on the 1st day of the month could take upto 92 days for payment for 62 days EoM vendors. As mentioned above the main payment run is on working day 7 following month end Accounts Payable close.
Any other information about payment terms
At the 31st December, the Aged Listing by vendor was very clean. From approximately 3,500 invoices on the Listing only 18.4% were overdue. Those invoices due for payment on 31st December would have had a bank transfer generated on working day 18 in January (this is later than the ‘normal’ 7 working days due to Year-end Close).
Dispute resolution process
Hydraforce is committed to paying all of its suppliers to the terms agreed. All concerns or complaints regarding the non-payment of an invoice should be initially directed to UKAccountsPayable@Hydraforce.com along with a copy of the invoice/(s) in question. Please ensure you also ‘cc’ your Purchasing Representative in the e-mail as they are responsible for the resolution of all queries (including Price, Quantity and Quality). If you are unsure who your Purchasing Representative is, it is normally the person who submitted the Purchase Order to your Company. Accounts Payable will liaise with Purchasing in an attempt to ensure all invoice queries are resolved in a timely manner. We endeavour to resolve all queries within two weeks, however, if you feel you are not being treated fairly, you should contact the Financial Controller. Alternatively contact Accounts Payable on 0121 333 1800 pressing 2 when prompted. Change
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 Fair Payment Code must commit to paying 95% of their invoices within 60 days.
No, this business has not signed up to a code of conduct or standards on payment practices.
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