04 Nov NNBN Approved For The Prompt Payment Code
NNBN, the membership organisation for Northamptonshire and those that serve the area, have today been approved for the Prompt Payment Code by the Small Business Commissioners Office.
The Prompt Payment Code (PPC) sets standards for payment practices and best practice and is administered by the Small Business Commissioner on behalf of the Department for Business, Energy and Industrial Strategy (BEIS). The Code covers prompt payment, as well as wider payment procedures.
The Small Business Commissioner, Liz Barclay, is responsible for regulation and governance of the Prompt Payment Code and signatories of the Code. The Small Business Commissioner has the power to determine which companies become signatories and investigate complaints concerning any signatories. These investigations can result in the Prompt Payment Code Compliance Board suspending or removing signatories from the Code.
The criteria for joining the Prompt Payment Code is:
- Pay suppliers on time
- Give clear guidance to suppliers
- Encourage good practice
- Pay 95% of all invoices within 60 days
- Pay 95% of all invoices within 30 days where the supplier is a small business with fewer than 50 employees
- Avoid any practices that have an adverse effect on the supply chain
NNBN Director Simon Cox said: “We’re keen for our suppliers and those wishing to trade with NNBN Ltd, to know that we pay our invoices on time and, if anything, work towards a zero creditors policy meaning that NNBN takes payment of suppliers extremely seriously and understands that late payments can have an impact on small businesses.”
“Many small businesses struggle with cashflow challenges, and we want to give our suppliers confidence that they will be paid on time going forward. We are also committed to ensuring our NNBN members and local businesses within Northamptonshire are aware of the PPC and the work of the Small Business Commissioner so businesses within our community can gain further support if they are struggling with late payment issues.”
Small Business Commissioner, Liz Barclay said: “It’s encouraging to see that NNBN recognises the value of being a signatory to the Code, and as a result have put in the hard work to improve their payment practices. I urge all businesses to demonstrate their commitment to ethical payment practices and become signatories to the Code”.
For further information on how you could apply for the Prompt Payment Code, please visit: https://www.smallbusinesscommissioner.gov.uk/ppc/