WINTER IS COMING: Is Your Cash Flow Ready for the Seasonal Squeeze?

As the nights draw in and Q4 begins, many UK businesses start to feel the chill — not just in the weather, but in their cash flow. Winter can be a testing season for even the most established companies. The combination of year-end budgets, staff holidays, and festive distractions can slow down payments just when costs are peaking.

The seasonal payment pinch

Every winter, we see familiar patterns that can squeeze cash flow and strain working capital:

  • Christmas and holiday scheduling disrupts approval processes, delaying invoice sign-off.
  • The Christmas rush means everyone wants extra stock in but doesn’t want to pay till new years.
  • Budget freezes take hold as finance teams look to tidy the books before year-end.
  • Staff absences mean fewer people are available to chase or process payments.
  • Suppliers prioritise larger accounts, leaving smaller businesses waiting longer for their turn.

It’s a perfect storm that can leave smaller firms struggling to keep their own commitments.

Don’t let Q4 cash flow challenges follow you into the new year

Do you find that your cash flow freezes up as we approach December?

At The Credit Protection Association (CPA), we help businesses of all sizes stay in control through every season. Our Overdue Account Recovery Service resolves over 80% of late payments without damaging customer goodwill — and because payments go directly to you, your client relationships stay intact.

Through our Creditcare monitoring and reporting, you’ll also see early warning signs of stress among your customers, giving you time to act before issues escalate.

Watch out for the those seasonal excuses

Festive Favourites – The Classic Christmas Excuses

  • “Our accounts team is on holiday until January.”
  • “The person who signs off payments is away skiing.”
  • “We’ve closed early for Christmas, can it wait until the New Year?”
  • “We’re shutting down for two weeks – nothing’s being processed.”

(Translation: your cash flow is taking a Christmas break too.)

Budget & Year-End Excuses

  • “We’ve hit our year-end budget cap, so we’ll pay once new budgets open.”
  • “We’re waiting for our customers to pay us first.”
  • “Finance is reconciling the year-end accounts, no payments are being released.”

(Translation: our cash is frozen – please defrost us in January.)

Admin & Approval Delays

  • “It’s with our director for final sign-off.”
  • “We changed banks and the new details aren’t set up yet.”
  • “The system was down when we tried to process it.”
  • “We didn’t receive your invoice — can you resend it?”

(Translation: it’s sitting in someone’s inbox covered in tinsel.)

Cash Flow Crunch Excuses

  • “December’s always tight for us.”
  • “We’ve had a few unexpected expenses this month.”
  • “We’ll settle it once January invoices start coming in.”

Seasonal excuses might be familiar, but they don’t have to derail your cash flow.

If you are already a member, get those overdue accounts over to us quickly so we can prompt your customers to settle up on time. Don’t let those payments slip or slide. And if you are not a member yet, well why on earth not? Contact us now to find out how we can improve your cash flow heading into the holiday season.

By planning ahead and using CPA’s proven systems, you can turn a traditionally tight quarter into one of stability and strength — ready to start the new year on solid financial footing.

Take action before the freeze sets in

Don’t wait until January to tackle late payments.

Call Peter Uwins, CPA’s National Sales Manager, on 020 8846 0000 or email nsm@cpa.co.uk