Supermarket chain Waitrose has announced it is going to move its payment terms for all UK small food producers to a maximum of seven days. The change, which will come into force over the next two months and is expected to benefit more than 600 UK food producers, follows an internal review of payment terms for smaller suppliers.
The supermarket will pay all its small scale suppliers, whose business with the retailer is worth less than £100,000 annually, within seven days of receipt of a valid electronic invoice. Mark Williamson, Waitrose's commercial director, said: "The internal review of how we pay our smallest suppliers was initiated because we wanted to make our good relationships with small suppliers even better by simplifying the payment process.
"We are passionate about supporting and nurturing British producers - and this step will help give smaller scale businesses, including new start-ups, more financial stability by helping with cash flow."