More recently, creditors have started to use winding up petitions specifically as debt collection tools. Rather than issuing a county court judgement which could then be ignored, creditors are choosing to issue the winding up petition because of the immediate pressure that this puts on the company to pay the outstanding debt. Given these serious [...]
When a business is seriously struggling to pay outstanding debts, I have had a number of directors ask me whether they can just close the doors on the business and wait for HMRC to issue a winding up order. In the mean time, the directors plan is to start a new business and carry on [...]
The economic downturn of the last 12 months has put severe restrictions on the amount of money banks are willing to lend to their business clients. This situation is having huge implications for the development of businesses in the UK. However, there are some perhaps less well known avenues for raising business finance which company [...]
When a limited company is facing financial difficulty, two of the rescue options which are often considered are a company voluntary arrangement (CVA) and a pre-pack administration. One of the downsides of pre-pack administration is the upfront cost, whereas a company voluntary arrangement can be implemented with little or no investment cash. If your company [...]
Company Administration in theory allows a business time to review its operations strategically and implement often major changes to put it into a position to allow it to trade profitably in future. However Customers and suppliers must be told of the company’s position and this will start to cause them to consider other options making [...]
With the economic climate as it is currently an increasing number of companies are going into administration. I have spoken to more and more people recently who are employed by businesses where administration is happening or imminent. These people are quite concerned and want to understand what administration is and what it might mean for [...]
A Winding Up Petition could have serious consequences for you and your business. It is therefore very important to understand what a Winding up Petition is and the implications of receiving one. A Winding Up Petition could have serious consequences for you and your business. It is therefore very important to understand what a Winding [...]
Depending on your status your ability to run your business may be severely impacted by declaring bankruptcy. We look at the impact and also at alternatives to solve personal financial difficulty and keep running your business. For senior business managers or owners, Bankruptcy is not an option if you want to continue managing your business. [...]
In the current market many businesses are finding that they have been issued with a County Court Judgment commonly known as a CCJ. The purpose of this article is to explain what a County Court Judgment is, why they are issued and what the ramifications of receiving a County Court Judgment are. Since late 2008 [...]
I frequently come across examples of small business owners or directors who use personal borrowing to supplement their business cash flow. In the current climate due to the effects of the credit crunch, personal credit is now becoming much harder to obtain. What can be done about this… I have come across many examples of [...]
