The 2-4-6 system will come into force tomorrow (30 November), and sets a maximum of two, four and six working days for each of the stages in the cheque clearing process – when interest begins to accrue, when the money is available to be withdrawn and when a cheque has finally cleared.

"For the first time, smaller firms have been assured that their money will be safely in their accounts within six working days," said the FPB's National Chairman, Len Collinson. "This will enable them to be more assured in managing their cash flow with a far greater degree of clarity."

Many of the FPB's member businesses still receive payments by cheque. Often the apparently simple process of paying in cheques and then keeping track of the money in their accounts can prove to be a difficult and confusing process.

FPB member Adrian Ingham, of Aqua Blue Seafoods Ltd in Westbury, Wiltshire, has experienced problems when cheques paid into his bank have subsequently bounced.

"I find cheques to be a pain at the moment because the time it take for them to clear can vary," said Mr Ingham. "Also, the money can appear in your account as a credit, when it actually hasn't cleared at all."

"I know of a couple of instances where scams have benefitted from this," he added. "A time limit will certainly help. Anything that simplifies the system and puts more safeguards in place for businesses is welcome."

The changes are part of the new Banking Code, which is being fully implemented in March 2008, and will be monitored by the Banking Code Standards Board.

The FPB is also advising members to explore other methods of payment in order to better protect their businesses, such as internet, phone and card payments.