Big companies are being urged to not hold out on paying small businesses

The latest data from Xero shows an 81 percent increase in the cost of late payments, jumping from 456 million dollars in 2021 to more than 800 million in 2023.

Xero country manager Bridget Snelling says large businesses tend to dictate payment terms to benefit themselves.

She says it takes a toll on businesses that sometimes don't have the reserves to survive if they're not paid on time.