China's Small Businesses Struggle with Shrinking Demand and Unpaid Bills

• China's small businesses struggling due to shrinking market demand and overdue payments from clients • 71% of surveyed small firms reported having outstanding receivables, averaging 103,000 yuan - two-thirds of quarterly income • 10.8% of small businesses reported unsustainable cash flows, up from 9.9% last quarter • Over 52% cite weak market demand as continued pressure point, confidence index down • Report calls for supportive policies to address weak demand and substantial overdue payments hurting small firms