GOV.UK
JOHNSONS TEXTILE SERVICES LIMITED
Company number: 00464645
Reporting period:
1 July 2020
to 31 December 2020
This report was filed on 28 January 2021
and approved by Yvonne Monaghan
Payment statistics
Average time taken to pay invoices: 50 days
Invoices paid:
- within 30 days: 19%
- in 31 to 60 days: 45%
- in 61 days or more: 36%
Invoices due but not paid within agreed terms: 75 %
Payment terms
Standard payment period for qualifying contracts
60 days
Standard payment terms
Johnsons Textile Services Limited trades through a number of brands, each of which offers varying payment terms to its suppliers. These terms typically range from 60 days through to 60 days from end of month.
Were there any changes to the standard payment terms in the reporting period?
No
Maximum contractual payment period agreed
135 days
Our payment terms typically range from 60 days through to 60 days from end of month, however, extended terms of 135 days from end of month have been negotiated with a small number of suppliers. Such extended terms are longstanding legacy agreements which were entered into on an arms’ length basis with mutual agreement by the suppliers.
Any other information about payment terms
As reported above under “payments due in the reporting period which have not been paid within the agreed period”, 75% of invoices were not paid within agreed terms, however, our analysis has confirmed that the majority of supplier invoices paid in the reporting period were paid within five working days of supplier terms. In many cases, this short delay is often linked to the timing of any particular weekly payment run.
Due to the various trading brands within Johnsons Textile Services Limited, we have a number of different accounts payable systems, the majority of which do not allow us to record the date a supplier invoice is physically received. Instead, we record the actual invoice date and it is that which has been used as a proxy for the date of receipt. As a consequence, any delay in us receiving an invoice from a supplier will adversely affect the statistics reported above for “average time taken to pay in days” and the “split of payments made under qualifying contracts in the reporting period”.
Dispute resolution process
We seek to resolve any issues in the first instance between the most relevant representatives of our company and the supplier. If the matter cannot be resolved it may then be escalated to senior members of both the supplier and ourselves. We are very proud to have built up longstanding relationships with a significant proportion of our suppliers and will always endeavour to work in a collaborative manner with them in order to resolve any disputes that may arise. Once resolved, we would aim to pay the supplier within the agreed contractual terms between us or, if the contractual due date has passed, at the next available opportunity.
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