The time it takes for payment to be made to a company improved again in the first three months of the year, according to business group ISME.
Its latest Credit Watch Survey shows that firms are waiting, on average, 52 days for payment.
That compares to 55 days in the previous quarter and a peak of 63 days in summer 2014.
According to the survey firms in Connaught and Ulster had the shortest wait at 45 days, while companies in Munster had the longest at 55 days.
Meanwhile construction and wholesale-focused businesses had, on average, the longest wait time for payments at 60 days.
Retailers were paid in the least amount of time at 51 days.
"Cash flow certainty is vital for businesses to succeed," said ISME CEO Neil McDonnell. "33% of SMEs stated that big businesses are taking longest to pay, this is a worry. Bigger firms must lead by example and pay on time.
"While the reduction in the number of days is positive, businesses must continue to ensure they continue to pay each other on time. There needs to be a collective change in our attitudes when it comes to paying creditors."
According to ISME's survey, 69% of businesses would favour a statutory requirement to make payments within 30 days.
