UK micro-businesses are having to write off £9 billion every year due to unpaid invoices, with the average write-off across five million self-employed and small firms running at £1,804 a year.
The figures are based on research by FreeAgent from a sample of its 45,000 plus customers. The figures also suggest that the UK Treasury could be missing out on an estimated £800 million in taxes due to unpaid bills.
FreeAgent reckons the UK now boasts some 1.8 million freelancers. It says more than 440,000 people have joined the freelance ranks since 2011, and digital freelancers are likely to earn a median income of £43,000, compared to the full-time average salary of £27,600.
Scot Buzz says: We are happy to make clear we never let an invoice go unpaid and use all methods to extract late payment. However, our freelance contributors may not exactly enjoy a median income close to the figure stated and invoice payments for work on our fleet of luxury yachts may be subject to delay.