New research published by global information services provider Experian has revealed that SMEs are being heavily impacted by supply chain insolvencies.

Research revealed that three-quarters of small and medium sized enterprises (SMEs) have lost money as a result of a customer becoming insolvent.

Of 600 SMEs surveyed, 76 per cent of SMEs have lost money as a result of customers failing over the last five years, with 35 per cent losing over £10,000.

Ade Potts, Managing Director, Experian’s SME business, UK&I, said: “The rate of deterioration is far quicker for companies in today’s climate, so the sooner you can spot the signs of financial stress, the sooner you can react. On-going monitoring, addressing financial issues such as late payment of invoices head-on and not relying on one big customer or supplier will help lessen the risk of further losses as a result of insolvencies.”