The recent fall of Bargain Booze has drawn attention once again to the impact high scale folds can have on smaller businesses that work in the food and drink industry. For those of you who operate in this sector, it can seem easy enough to simply get on with supplying to the companies you have established contracts with and take a ‘business as usual’ approach.
But we’ve seen how consumer tastes can change, how economic environments can fluctuate and how supply chains can be disrupted in an increasingly global and interconnected world. You wouldn’t want to fall victim to one of your clients becoming insolvent, potentially leading your own company to go bust.
We know that the food and drink industry can be innovative, adaptable and proactive in protecting its interests, and we’ve seen strong profitable performance of late. But financial risks remain.
Narrow margins and bankruptcies are a common occurrence in the industry. Risks include changing consumer expectations, such as the drive for higher quality ingredients. Volatile agricultural commodity pricing poses a potential problem too.
The contamination of products and public health crises can further expose the industry. Couple these threats with an instant world where news travels fast, and you could get a single event rapidly forcing companies from boom to bust.
Yet food and drink, for the most part, has generally fared better in terms of bad debt accumulation compared to other sectors including construction and aviation. But complicity is no longer an option. That’s why we’ve seen food and beverage businesses increasingly taking out invoice insurance cover. Companies are switching on to the risks of client insolvency and protracted default, particularly as it’s not just smaller entities that are going bust but larger corporations too.
With InvoiceInsure’s comprehensive invoice insurance cover, all of your company dealings are protected. We don’t just cherry pick the most risky clients to safeguard you from, as other providers do. We let you know which contracts are safe bets, and which could be more risky. We keep on top of changes within the food and beverage market and provide insights into how these could affect what you do. All of this for an affordable monthly payment. Simple.
Whether you operate as a producer, manufacturer, supplier, processor or distributor, or a business that offers services to food and drink companies here or abroad, we know how non-payment can impact you.
It chokes cash flow. It eats up into precious time. We know how having invoice insurance can allow you to grow your client base, secure borrowing more easily, and thus increase capacity. Invoice insurance allows you to sell your products confidently.
Our team at InvoiceInsure keep on top of economic environments and don’t put smaller businesses at risk by withdrawing cover at short notice. We play fair. We have a rigorous risk assessment process that is constantly updated so that we can keep on top of the health of your clients, warning you of any potential risks in advance. This keeps you prepared and allows you to continue with what you do best; catering to your clients.
We also understand that the needs of our clients goes beyond insurance that compensates for losses. You want extensive services, including defaulted receivables management and client portfolio monitoring, all of which we provide. Don’t carry on doing risky business – take out invoice insurance today.
We’d be delighted if you get an invoice insurance quote for by clicking the link below – it’s a simple process and won’t take long.
Giulia Macgarr