GRAFTON MERCHANTING GB LIMITED
Company number: 04725313
Reporting period:
1 July 2020 to 31 December 2020
Report filed on:
27 January 2021
Approved by:
Martin Sockett
Payment statistics
Average time taken to pay invoices: 47 days
Invoices paid:
- within 30 days: 16%
- in 31 to 60 days: 66%
- in 61 days or more: 18%
Late and disputed:
- payments due in the reporting period which have not been paid within the agreed period: 15%
Payment terms
Shortest standard payment periods
32 days
Longest standard payment period
92 days
Standard payment terms
Payment terms negotiated on an individual supplier basis. Typically payment is made the week following the first full calendar month that the invoice is due (either 30,60 or 90 days)
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
No further comment provided
Any other information about payment terms
Although the company arranges payment instructons on non-disputed invoices in accordance with due dates the duration as to when cleared funds will be available to the supplier will vary in accordance with the method of transmission.
Dispute resolution process
Regular supplier reconciliations are undertaken and “held invoice” reports are generated to verify missing or disputed documents. The new invoice matching solution allows tracking of all invoices that are sat awaiting action or approval and are flagged as overdue after 5 days. A report of all invoices not actioned within five days is circulated to regional management for escalation. Invoices will be held for payment for reasons relating to the pricing, quantity or quality of the goods provided or for reasons relating to inaccurate documentation such as non-disclosure of the purchase order number. During this reporting period the resolution process has contended with the transfer of a significant segment of the business which impacted on dispute volumes. A Purchase Order (PO) / Goods Received process facilitates dispute resolution and branches have administration assistants to deal with queries directly with supplier. All suppliers have an assigned Accounts Payable Clerk to liaise with in order to provide a fast track route for statements and replacement invoices. With the implementation of the new invoice matching solution Branch staff and the Accounts Payable Department work more closely to try and ensure any issues are resolved in a timely manner and that any additional system training is provided to allow more efficient resolution of invoice disputes. Visits are made by Accounts payable staff to supplier premises, or invitations to suppliers to Grafton offices, to resolve queries and disputes face to face. When disputes have been resolved they are added to the weekly and, if required, ad-hoc payment runs to be settled.
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.
Yes
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