How Raytheon Technologies is helping its suppliers with their cashflow woes

Governments and the business community know that small businesses are lifeline of an economy. In the case of Raytheon Technologies, a US-based defence contractor, is actually acknowledging the importance of small businesses by taking concrete action. The company has paid US$450 million in accelerated progress payments to its suppliers to help them manage their cashflows.

Greg Hayes, Raytheon’s CEO, wants to make sure their suppliers stay financially healthy, and the company has even set up a special department to provide them with logistical and operational support to access funds. The company’s website also has a separate help section for their suppliers.

Hayes said that its company's airline business customers are facing tough times, but he is most worried about their suppliers affected by the pandemic

Here at RIABU, we believe that large companies that work with small suppliers have an ethical responsibility to pay them on time to ensure their survival. That’s why we started our Pledge2Pay initiative — a platform where companies can commit to paying their SME suppliers within 30 days to help them survive Covid-19-related disruptions.

Get more tips on effective cash flow management from our book, Let The Cash Flow. To find out more about how RIABU helps small businesses get paid on time, visit RIABU.com