Our favourite small businesses

As part of Small Business Saturday the team have taken the time to tell us about their favourite small businesses.

Auto Repair Medway

autorepairRob is our Head of Product (and possessor of hair that will stand up in the wind as shown in this photo!).

It’s always great when you can find a local car mechanic you can trust and Auto Repair in Medway are just that.

Rob says “my car’s  windscreen wipers stopped working and needing replacing.  The guys at Auto Repair called Ford for the part but were quoted an extortionate price, so told Ford to keep the part.  They phoned me and advised a quick search online for the part and it saved me hundreds of pounds.”

 

Nin Com Soup, Old Street, London

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Matt’s the youngest of our team and he loves a nice warming lunch (his Mum would be pleased with him!), so he heads to the amusingly named Nin Com Soup within Old Street underground station.

“Great flavours in their ever changing range of soups, and a name that makes me smile every day” says Matt about his favourite lunchtime haunt.

“And they take Bitcoin, which fits with our FinTech business.”

 

Stephen Jones Millinery, Great Queen street, London

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Resident fashion expert Lorelei puts us all to shame with her daily fashionable outfits, and here she is outside Soho milliners Stephen Jones.

Here am I outside of this beautiful shop of hats and fascinators thinking of my next big event.”

And her enthusiasm doesn’t end there. “This shop makes me want to be part of some royal parties where I can look fabulous.”

Deliciously French, Cookham, Berkshire

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Despite growing up to the west of London, Head of Engineering Stuart fancies a bit of the French life, with his local French delicatessen Deliciously French.

“Honestly, it’s not just the wine I like” says Stuart.  “I do also love a bit of cheese to go with it.”

Deliciously French’s ethos is sourcing produce from family run establishments, which keeps small businesses going on both sides of the channel.

 

Hello Gorgeous Hairdressing, Battersea,

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“Who doesn’t love phoning to make an appointment and being met with the welcome ‘Hello Gorgeous'” says Carolyn, Product Delivery Manager for Ormsby Street.

“I’ve been going here for years and it still makes me smile when they answer the phone.”

Their motto is ‘luxury is a necessity’ which shows a small business who know their customers and know how to make them feel special.

 

 

Ormsby Street, Old Street, London

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New boy Parsh tries to earn some brownie points by telling us that we’re his favourite small business.

“I’ve enjoyed my first two weeks here” he says.  “Coming from a larger business with a larger team to a focused small business like Ormsby Street has been a great experience so far.”

Parsh is responsible for developing our understanding of the credit scoring, late payment and company performance data that we use to make our services like CreditHQ support small businesses in getting control of their money.

 

The making of new entrepreneurs

We’re always happy when a new person joins the Ormsby Street team.  We get an injection of new experience, a new outlook, a new voice that can question why we do things the way we do.  It’s an opportunity to sanity check how we’re going about things.

Today we’re joined by Matt, who’s coming in to support our commercial activities with channel partners, and he’s also a young entrepreneur keen to make a difference.

Matt’s our first recruit who is taking part in the New Entrepreneurs Foundation, a programme designed to take the best young entrepreneurs and give them the tools to make a difference in the business world.

He’s with us full time as any other team member, but he gets some time away from the business to attend events as part of the programme, learning about strategy, negotiating, intellectual property and much more.

Hundreds of young business people have graduated from the programme, going on to start businesses of their own, employing hundreds of people and raising millions in funding, and we’re pleased to play our part.

mattMatt’s going to get exposure to all aspects of our business, from how we build our small business software tools, to understanding our customers challenges, and how to sell into the enterprise market.  In return, he’ll bring his learnings from the programme into our processes and approach.  It’s a win win!

Great to have you on board Matt!

 

 

Late payment threatens to derail the freelance industry

UK freelancers are increasingly struggling with late invoice payments, with around half admitting they have considered quitting life as a freelancer because of worries over continued late payment, and 46% stressing about having enough cash to live on.

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Our latest research here at Ormsby Street, also reveals that one in ten freelancers have faced difficulties paying their mortgage or rent because of late invoice payment, and many have turned to family (37%) or even payday loans companies (36%) to cover a shortfall brought about by late payment.

While a fortunate 19% of respondents say most of their invoices are always paid on time, a freelancer’s invoices are paid on average 18 and a half days after their due date. At any one time, a freelancer in the UK is owed on average £5,431.03 in late payments and 79% of freelancers say that cash-flow is the number one concern for their business.

“Every freelancer knows that late invoice payment is one of the biggest frustrations, impacting cash-flow and causing much stress, from paying the mortgage to having enough money to live on,” said Martin Campbell, Managing Director, Ormsby Street. “For a freelancer to be owed more than £5,000 is clearly unacceptable and threatens the emerging freelance economy in the UK, which brings flexibility and work / life balance to so many.” 

The Office for National Statistics revealed in 2015 that 4.55 million Britons are now their own boss and research by the Association of Independent Professionals and the Self-Employed (IPSE) found three in five businesses agree that it would be difficult to operate without hiring freelancers. The Ormsby Street survey of 1,002 freelancers and sole-traders, revealed that 40% of respondents have taken out a County Court Judgement (CCJ) in the last year to chase a bad debt, and more than half say that late invoice payment is getting worse not better.

It remains a problem for many freelancers when it comes to chasing clients over late payment, partly because they do not have the time to spare, but also because of fears this might impact future work with that company.  57% of respondents say they worry that if they chase for payment that client might not use their services again, while two-thirds say they feel uncomfortable and awkward chasing clients for late payment.

“Why should a freelancer waste their own billable hours chasing payment for work that has been successfully completed and is already due for payment,” continued Martin Campbell. “If customers are not willing to pay within the agreed terms then it’s time for freelancers to become more informed over whom they work with, and either ask for payment upfront or even choose to not work with company.”

Special Freelancer rate!

With 49% of freelancers having had to turn down a contract because of concerns over a client’s ability / willingness to pay on time, we’re offering access to CreditHQ for the special freelancer rate of £12.50 for the standard subscription; allowing freelancers to obtain financial insight into every company they trade with. Sign up here to take advantage of this offer

“Freelancing has grown in popularity because of the choice and flexibility it gives people over their career, but its success relies on the prompt payment of invoices, which is not happening enough,” concluded Martin Campbell. “Credit-checking potential customers and partners is straightforward to do and should be done by a freelancer every time they work with someone, to protect themselves against late payment.”

About the research

An online survey of 1,003 freelancers and sole-traders was undertaken by TLF Research in March and April 2016.

CreditHQ, the credit-checking tool built by Ormsby Street, collates credit and trade information from Companies House, Experian and Dun & Bradstreet and presents that information in simple-to-understand credit and payment indicators, so a freelancer can assess which businesses are likely to pay them on time, or after 30 or more days.

Formed in 2014 to take over the operation of the financial data proposition of BCSG, Ormsby Street is developing the next generation of financial data services for small businesses. Its team of high-performing product innovators and software engineers are quietly taking sophisticated financial information and turning it into a next-generation digital tool to help businesses make good decisions about customers, suppliers and themselves.

Which football club’s finances need a kick-start?

Swansea and Southampton top premier league of invoice payment!

As this year’s football season reaches an end, here at CreditHQ we thought we’d take a look at how good the top football clubs are at performing where it matters – in the payments department!

Small businesses wait on average, 72 days for payment of invoices, and our analysis last year showed the average overdue invoice to a small business was worth a whopping £6,142. 

The Payment Premier League was compiled by combining figures for payment performance and credit risk.

“If a small business wins a contract with their local football team then it is easy to let the heart rule the head, and just go ahead with the work regardless – people love the idea of working for the team they support,” said Martin Campbell. “But our analysis shows that just because a team is good on the pitch, it doesn’t necessarily follow that they will be as strong when it comes to paying invoices on time.”

“Winning a major contract with any sizeable local company is a big deal for a small business, but few would think to run a credit check. Yet the average time for a small business to be paid is 72 days, a period of time which could be seriously problematic for a small business, if the figures involved were big enough.”

Premier Payment league infographic

Sunderland and Crystal Palace were the worst performers on our payment premier league, so if you’re thinking of doing business with either of these teams, follow these simple tips to ensure you’re taking the right precautions to ensure you stay on top of your business cash-flow:

  • Stay on top of your invoice process to get invoices out on time.
  • Follow up before the invoices are due.
  • Chase invoices when due and always charge interest on overdue invoices (or issue a letter of intent).
  • Review payment terms for this company, including payment up front if you are really worried about the impact of late payment.
  • For major concerns about a customer’s financial health, don’t be afraid to walk away from a deal.

Check out who you’re doing business with at www.credithq.co.uk

We’re a Benzinga Finalist!

Ormsby Street has been chosen as a finalist for this year’s Benzinga Awards – in the ‘leveling the playing field’ category

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The Benzinga Awards (BZ), is a competition to showcase the companies with the most impressive technology, who are paving the future in financial services and capital markets.

Last year’s winners include HedgecoVest who were the overall winner, with Estimize taking first place for best startup.

If you’d like to join in the celebrations in New York on May 24th, click here for full information and details of how to grab your ticket.

Good luck to all the other finalists!