GOV.UK
ISG CONSTRUCTION LIMITED
Company number: 00450103
Reporting period:
1 January 2023
to 30 June 2023
This report was filed on 21 July 2023
and approved by Scott Bolton
Payment statistics
Average time taken to pay invoices: 15 days
Invoices paid:
- within 30 days: 86%
- in 31 to 60 days: 12%
- in 61 days or more: 2%
Invoices due but not paid within agreed terms: 21 %
Payment terms
Shortest standard payment period
7 days
Longest standard payment period
60 days
Standard payment terms
The company does not have standard payment terms. Payment terms are agreed with suppliers as part of contract negotiations. The most frequently used payment terms in the reporting period are 30 days from date of invoice.
Were there any changes to the standard payment terms in the reporting period?
No
Maximum contractual payment period agreed
60 days
n/a
Any other information about payment terms
Prompt Payment Code statistics :
- Average time to pay in days is 29
- % of Payments 30 days or fewer 59%
- % of Payments 31 to 60 Days 37%
- % of Payments above 60 Days 4%
- % of Payments not paid in Agreed Period 47%
ISG is committed to continual improvement with regards to systems and ensuring that vendors will paid in line with target dates. In support of this ISG has updated the majority of its UK ERP systems and is in the process of implementing a new source to pay system. While in the short term this implementation may have a negative impact on payment performance by the first half of 2024 all of the vendors accounts should be established on the new system and the next stage, that is to include all sub-contractors, will commence. This new system, assuming that the vendors ensure they only supply ISG on receipt of a valid purchase order and make use of the ability to upload their invoices directly to the portal, should significantly improve ISG’s ability to increase automation and efficiency to the benefit of our supply chain.
Dispute resolution process
The company actively seeks to resolve disputes in a timely manner. This process will involve the Accounts Payable team and where necessary the Supply Chain team, Commercial teams and Senior Management. A member of the team will contact the supplier to discuss the dispute. Supplier relationships, managed more & more in a structured way, ensure we very rarely have the need for formal dispute resolution processes. If it is not possible to reach an agreement suitable to both parties then other methods of dispute resolution may include but are not limited to adjudication, litigation etc. as determined by the companies’ legal department. This is very much seen as a last resort.
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.Yes – Prompt Payment Code
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