Free online invoicing software
with KSeF support
Late invoices threaten liquidity and entire supply chains. Legislation and reporting obligations aim to reduce the problem, while UOKiK increasingly checks persistent late payers. What has changed and how can businesses protect cash flow?
What are payment bottlenecks?
One business’s non-payment creates a domino effect, forcing others to use reserves or credit. For SMEs, even several weeks can threaten survival. UOKiK opened over thirty cases last year and approached almost eighty businesses to change practices.
The main legislation
The Act on combating excessive delays in commercial transactions protects SMEs against long terms and unfair larger partners. It sets maximum terms and statutory interest. UOKiK can intervene in systemic delays, with penalties calculated from value and duration, potentially reaching millions.
Accounting that understands your business
Leave your email address to receive weekly guides to help your business grow.
Large businesses
When large businesses buy from small suppliers, payment cannot exceed sixty days from invoice or bill delivery. They must disclose their large-business status. Timeliness also affects reputation.
Amendments
Recent changes clarified penalties and introduced informal interventions before proceedings, giving businesses a chance to improve. More firms now monitor liabilities in real time and use document workflows and automatic reminders.
Payment-term reports
Large businesses submit annual reports to the Development and Technology Ministry by 30 April. They include average and maximum terms, overdue transaction counts and total arrears. Public availability lets partners and lenders assess reliability.
UOKiK inspections
The authority analyses reports and complaints, can initiate cases itself or at a business’s request, and demand contracts, invoices and payment evidence. A response and recovery plan may lead to informal intervention; persistent breaches lead to penalties totalling millions in recent years.
Reducing risk
Monitor receivables, forecast cash flow and react promptly. Factoring, credit limits and electronic workflows help. An external CFO analyses liabilities, develops strategy and improves planning, payment terms and negotiating strength.
Interested in this article? Explore our financial management services and see how we can help:
Summary
Payment discipline connects legal compliance with liquidity and reputation. Reporting and UOKiK action address persistent delays, while internal monitoring and forecasts help businesses react earlier. CFO support can bring these measures into a coordinated financial approach.
Interested in this article?
Enter your email address and once a week you will receive practical materials and tips to help you grow your business.
Book a free consultation
Grow your business with accounting combined with advisory support:
or
