A new survey by YouGov indicates that the majority of small and medium-sized enterprises (SMEs) in the UK would be reluctant to chase late payments from customers or suppliers, even if it loses them cash.

According to this survey, seven out of ten SMEs would prefer to write off cash owed to them than chase people for late payment of invoices. Those who responded in this fashion cited a taboo in the UK over raising issues connected with money as the primary reason for their reluctance to make a fuss about overdue payments.

While this is understandable to some extent, late or missed payments can be disastrous for smaller businesses. As accountants in Goole or other parts of the country will tell such firms, this delayed or lost money can leave them with insufficient cash flow to stay afloat.

More than 1,000 SMEs across the country were surveyed by YouGov, and the results show that this taboo over money matters is costing smaller firms dearly. An astonishing 73% stated that they would be prepared to write off as much as 10% of their revenues each year rather than confront their suppliers or customers about late payments, and 29% of those running smaller firms said that such conversations left them feeling awkward.

However, the survey also showed that technology may offer a solution to this issue – 62% of consumers have indicated that receiving a text message or an email about a late payment would be a preferable option to a phone call or visit.