Payment terms set-up during the pandemic will become permanent for its small suppliers, Endeavour Group says. The group introduced 14-day payment terms as part of its pandemic support initiative in March 2020.
The payment terms will support Australian suppliers who receive payments from Endeavour Group of less than $1 million, with less than $10 million in annual turnover.
Steve Donohue .
More than three years on from the announcement of the first lockdowns and pandemic-related restrictions, Endeavour Group CEO and managing director Steve Donohue said recent years have presented a range of challenges for small suppliers across the industry.
“In March 2022 we announced that we would extend 14-day payment terms until June 2023, but in response to supplier feedback over the last year, we are pleased to have made the decision to keep them in place for good.
“While lockdowns seem like a distant memory now, the flow-on effects for our small suppliers cannot be underestimated,” Donohue said.
Donohue added that in order to have a vibrant drinks industry, it was important that businesses were given every opportunity to succeed.
“Our ability to provide customers with the most extensive range of drinks - to suit all tastes and preferences - depends on them.
“Making this initiative permanent recognises that although lockdowns have been lifted and restrictions removed, the challenges for many businesses have continued with supply chain challenges, high inflation and rising cost of doing business,” said Donohue.
On the extension of the initiative, Ryan Davidson, CEO of Little Bang Brewing in South Australia said: “COVID-19 was such a scary and unpredictable time in so many ways. Knowing that a big player like Endeavour had our back was a great source of comfort to us.”
“We are committed to working in close partnership with our suppliers to get their products to more people right around Australia,” said Donohue.
