pal's machining
Aluminum
- Joined
- Oct 8, 2002
- Location
- owatonna mn. 55060
Doing work with some larger companies and when it comes close to the end of their fiscal quarter payments get slower and slower at comming in. They must to this to make it appear that they have high cash on hand making their stock report more impressive. Other than stopping delivery untill their account is current what can one do? Is there something in Sarbanes Oxly bill which passed after Enron to prevent this (fraud?) to the stockholders? If so who would one contact? Attorney General, Senator, Stock Exchange, IRS, SEC?
I would guess many of you shop owners have seen this and your usual 30 day terms go out to 60/90 plus days at the end of the corporate giant year end. For this to work for them every quarter end to show improoved cash on hand they have to stop sending out payments another week earlier! Then to see the checks come in dated on proper payment date but not sent out untill December 30th or at the end of their quarter.
When they purchase from China I believe that the China vendor gets paid as soon as it clears customs which is faster than I get paid!
Any Comments?
I would guess many of you shop owners have seen this and your usual 30 day terms go out to 60/90 plus days at the end of the corporate giant year end. For this to work for them every quarter end to show improoved cash on hand they have to stop sending out payments another week earlier! Then to see the checks come in dated on proper payment date but not sent out untill December 30th or at the end of their quarter.
When they purchase from China I believe that the China vendor gets paid as soon as it clears customs which is faster than I get paid!
Any Comments?