During the whole of 2008, ICSM retrieved £9m of debt for the print industry, however it is set to hit a new record this year, with the figure for the year so far standing at £7.1m.

According to managing director Ian Carrotte, the summer months often lead to payment deadlines being pushed. But, he warned that no matter how small the debt, a series of missed payments can easily add up.

He said: "The increase in people taking annual leave can create lots of small late payments that add up to a big financial concern at the end of the month.

"We start to hear credit managers complaining that their clients are excusing non-payment with explanations such as ‘the signatory is not here this week’ or ‘the cheque will go out after the bank holiday or school break’."
 
He added: "This is always a difficult time of year, because of this ‘holiday absenteeism’ and we anticipate even more activity in the coming months when these delaying tactics have worn themselves out and suppliers turn to us for help in getting the money in."

The warning comes as ICSM also revealed that last month it recouped £1.6m of bad debt for printers – a slight increase from the previous month’s £1.5m. The amount written off in May rose to £425,000 from £395,000 in April.

Carrotte said: "The slightly higher numbers are an indicator of trend because both April and May are very similar months, both with double bank holidays, and both with school holidays."

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