Kingdom Housing Association speeds payments to help businesses during coronavirus crisis
Kingdom Housing Association has taken the decision to settle invoices immediately in recognition of the increasing importance of cash flow to its commercial partners during the current period of coronavirus uncertainty.
A major employer and engine of economic activity across Fife, not least in the construction and property maintenance sectors, Kingdom Housing Association settles more than 12,000 invoices a year, has a turnover of more than £23 million per annum and capital expenditure building and improving homes of more than £75m in 2020-21.
As a result, the Association has pledged to settle invoices that are received once they are processed through its normal processes rather than wait until the 30 day creditor payment period has elapsed.
Nick Pollard, director of finance and digital, said the move will represent a cash flow benefit to all suppliers and contractors.
He added: “This decision is an unprecedented decision taken in light of the circumstances we all face in relation to coronavirus and its effects. It demonstrates the importance of our contractors and suppliers to Kingdom and it also demonstrates our desire to support local employers and their employees, some of whom may be our tenants, by taking a small step to improve operating cash flow for those businesses.
“We do expect that our principal contractors will pass on any financial benefit to subcontractors and sole traders from this decision and not retain the benefit entirely for their own purposes.”
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