1 in 4 Canadian businesses struggle with cashflow

Wednesday 14 October 2020 13:03 CET | News

Payments Canada has released survey results from Canadian small business owners revealing that 1 in 4 Canadian businesses struggle with cashflow.

In 2021, the topmost priority for 2 in 5 small businesses is improving overall efficiency to simplify and enhance everyday payment interactions. Findings and associated small business owner payment pain points and trends include:

  • 50% of small merchants believe Canadian stores will become cashless in the next ten years, of which the majority are unconcerned;
  • Close to 1 in 4 small businesses struggle with not having the funds to make a payment;
  • About 25% of all small businesses have encountered payments-related fraud in the last six months, of which 1 in 5 did not have their issue satisfactorily resolved;
  • Primary pain point when making cross border payments is additional fees;
  • 37% of small businesses employ short-term contracts or freelancers, of which over 50% are paid by cheque or cash.

The report touches on how Canadian businesses can address key challenges including through predictability of cashflow, improved risk management, real time gig worker payments, and more efficient cross-border payments.

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Keywords: cross border payments, cheque, cash, cashflow, gig workers, risk management, payments
Categories: Payments & Commerce
Countries: Canada
This article is part of category

Payments & Commerce