Dyke Yaxley Director, Marie Bramwell, said research carried out by the Federation of Small Businesses showed over half of small firms in the UK felt they had been negatively affected.
“In the last 3 years 52% of small firms felt they had been subjected to unfair contract terms with their suppliers.
“And the survey found that 40% of small businesses felt they couldn’t do anything about their situation because the supplier was too important to them.
“This is an unacceptable way for any small business to be forced to operate, but in spite of their feelings of hopelessness, there are steps they can take to improve the balance and restore their position.”
Marie said the most common unfair terms were automatic rollover clauses which were not explained up front, lengthy notice periods, high early termination charges, and onerous details concealed in the small print.
“In the research by the FSB, 75% of businesses affected by negative contract terms had faced real problems twice in the last 3 years.
“And the costs of trying to solve problems these contracts create can be significant, with over a third paying £1,000 or more and 11% paying over £5,000 to sort things out.
“Our team of experts has many years of experience when it comes to negotiating business contracts and financial terms, and we can help your company avoid the pitfalls.”
National Chairman of the FSB, Mike Cherry, said: “Small businesses don’t have the time, expertise, or purchasing power to scour the market to find and negotiate the best deals.
“If small firms were better protected when entering a contract with a supplier, they would have more confidence and trust in the market.”
Director, Marie Bramwell