Two academy trusts pledge to support suppliers

Two academy trusts have promised to pay all invoices from suppliers within 10 days rather than the usual 30-day period, to help with any cash flow issues in small businesses.

Northern Education Trust, which runs 21 academies, and Delta Academies Trust, which runs more than 50 academies, have promised to pay all invoices from suppliers within 10 days – and ideally within five – rather than the usual 30-day period, to help with any cash flow issues small businesses may have.

The two trusts, which both operate in the North of England and have a track record of turning round under-performing schools in disadvantaged communities, are run by brothers Rob Tarn and Paul Tarn, and often collaborate. In 2018, together with other trusts, they formed the Northern Alliance to informally work together and share best practice and ideas.

Gareth Edmunds, Chief Operating and Financial Officer of Northern Education Trust, said: “To help mitigate against any potential cash flow problems they may encounter, we have taken the decision to pay all our creditors on a 5-day notice basis, rather than the usual 30-day notice period. We will continue to work in this timeframe until further notice, and hope this action helps to ensure the viability of our small business partners.”

Paul Tarn, Chief Executive Officer of Delta Academies Trust, said: “We are concerned about the impact the coronavirus may have on the operation of small businesses who supply products and services to us. It is clearly vital, if they are continue to operate successfully and protect their workforce’s livelihoods, that they are paid not only time, but ahead of time, through this period. We are able to help and are only too happy to do so by moving to this much shorter payment turnaround. Both Rob and I hope that other academy trusts will follow our lead to support businesses in the communities in which they provide education.”