The automobile sector is another major industry facing uncertainties due to technological advances, changing consumer tastes, government regulations and relative pricing. This makes planning ahead and being future proof more difficult for smaller, younger businesses that work alongside the large corporations dominating the sector.
Whilst these shifts make for interesting times, there is also a risk attached to them. High profile folds in other sectors have been common, from Maplin to Toys ‘R’ Us to Carillion. You wouldn’t want to fall victim to one of your clients no longer being able to cut it in this high-paced and interconnected environment, and lose out on money you’re owed for work you’ve already done. There are also a range of other factors at play that mean the car industry is set for some radical change that require powerful solutions.
However one thing about the automobile industry is certain. Autonomous driving is on the up. Just this week it was announced that the first automated street cleaning is taking place, in China, where two vehicles began single-handedly sweeping roads. The government is set to roll out the scheme. Automation is the future.
IHS Automotives predicts that the sales of self-driving cars will rise from 253,000 in 2025 to nearly 11.8 million in 2035.
That’s a huge increase and brings with it a lot of opportunity.
So the industry needs to go way beyond being ‘car builders’. Vehicles are far more connected to the environments in which they’re in, transmitting and receiving data that enables automation. But with this shift to better connected cars, comes seismic changes to the current market. Traditional, straightforward car manufacturing just won’t cut it. Car giants are starting to source different parts, from a wider range of suppliers. They are increasingly looking to other sectors for solutions and ideas, from software to components to infrastructure.
New technologies are growing in importance and in order for younger, more dynamic companies working in the automobile sector to survive, some precautions need to be taken. Having invoice insurance gives you the security you need. Not only does it guarantee that you are paid for the work you do, but it also means that in the unfortunate case of one of your clients going bust or facing protracted default, you are protected.
Our team stays switched on to any market shifts so that you don’t have to. We give you client insights to ensure that you’re fully aware of who you’re doing business with.
Is a particular client in good health? Are they likely to pay on time? These are questions that have instant impact, and require immediate answers.
We want your business to be future proof – that’s why we came up with the idea for InvoiceInsure in the first place. We help to protect your business from bad debt, allowing it to grow adaptably and profitably, even in more challenging circumstances.
There are further questions around the effects that fuel efficiency standards will have. There’s also the small case of the emissions scandal, which will lead to further regulation, and growing attention around air pollution. All of this means the industry isn’t as stable as previous years. So make sure you’re in control of your business and stay ahead of the game. Don’t carry on doing risky business – take out invoice insurance today.
Giulia Macgarr