PHILADELPHIA, PA — A new survey of more than 3,000 small business owners paints a troubling picture for Pennsylvania’s business climate, ranking three of its major cities — including Philadelphia — among the least reliable in the nation when it comes to paying invoices on time.
The study, conducted by Advance Funds Network, analyzed payment behavior across U.S. cities to identify where businesses are most and least trustworthy when settling accounts. Philadelphia ranked 165th nationwide, earning the distinction as Pennsylvania’s most untrustworthy city for timely payments. Pittsburgh followed at 136th, and Allentown at 161st.
By contrast, the best-paying cities were led by Clarksville, Tennessee; Glendale, California; and Vancouver, Washington — communities praised for their accountability and efficiency. No Pennsylvania city made the top 100.
“Consistent, timely payments are the lifeblood of small business — yet too many still have to chase what they’ve already earned,” said Irving Betesh, Chief Revenue Officer of Advance Funds Network. “The cities that stand out aren’t just better at paying bills; they’ve built cultures of accountability that ripple through every transaction.”
The survey highlights the financial strain late payments can cause: 20% of business owners said delays force them to postpone supplier payments, 17% scale back growth plans, and 15% risk delaying employee paychecks. Another 10% warned that repeated late payments could put their companies at risk of closure.
Industries with the worst payment reputations include healthcare, public services, and hospitality. Nearly half of all respondents said they’ve cut ties with clients over recurring payment issues, and 74% said they would accept a smaller profit margin in exchange for faster, more reliable payments.
For small businesses operating in Pennsylvania’s urban centers, the findings reinforce what many already know — that even in booming regional economies, the biggest challenge isn’t finding work, but getting paid for it.
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