“I’m Looking for a Debt Help Company for my Business”
If you’re a company director faced with spiralling debt, you will be stressed and concerned about your future. If you’re reached this page you have likely googled for debt advice.
Our mission is to help those in your situation find the best possible path through business debts. So if you’re looking for confidential advice, and you work within the limited company structure, please make contact for immediate help.
One thing to point out is that we can’t help sole traders, but rather focus specifically on those working with limited companies. Limited companies offer a clear seperation from personally and business debt and thus a number of different insolvency solutions than those appropriate for sole traders.
In the article below, we’ll explore what our services look like, and the possibly solutions available to help your company emerge from debt.
Do You Need a Debt Management Plan for Your Limited Company?
The Debt Management Plan (DMP) is a tool used with sole trader insolvency (bankruptcy) but there is an equivalent used with business debt solutions.
A process known as a company voluntary arrangement allows an insolvency practitioner to negotiate a structured repayment plan with creditors, for a percentage of the total amount. It has to be voted upon by creditors but, if approved, it can mean you repay a lower amount of debt in installments your limited company can afford.
It can represent an efficient debt solution and, much as with debt management plans, represents a very efficient limited company debt solution.
Please make contact with us to discuss the possibility of a company voluntary arrangement, should you feel your business debts are becoming precarious. It’s important to point out that the moment your liabilities exceed your assets you are in the state of insolvency.
This changes things when it comes to your directorial responsibilities. Principally you should be aware that your primary responsibility, once aware that you’re insolvent, becomes to creditors. Failing to accordingly could leave you open to charges of wrongful trading and potential personal liability for corporate debt.
Can I get Help With my Debts?
If a creditor, such as HMRC, is pursuing you for unpaid debts it may feel like you’ve got no where to turn. Many directors put their head in the sand, when it comes to debt problems, hoping it will all go away. They less is to realise you need to look this squarely in the face, take the right debt advice and support, and take appropriate action.
This might mean a structured payment plan with debtors, such as a company voluntary arrangement.
Or it might mean putting your business into liquidation, which will mean the end of creditor pressure and the chance to start afresh.
Call our free number any time to learn more about your situation at any time. Our insolvency practitioners are authorised and regulated by the financial conduct authority, and we specialise in offering directors help with debts
Can a Debt Consolidation Company Help with Business Debt?
A Company Voluntary Arrangement is, in fact, a debt consolidation solution for limited companies. Although it is organised by an insolvency practitioner they are referred to merely as the ‘supervisor’ of the CVA. It represents the best possibility solution to getting out of business debt, and may help you escape complete insolvency if carried out appropriately.
Of course in many cases, companies seeking debt consolidation are actually in a position serious enough to warrant liquidation. While directors are understandably hugely reluctant to hearing this in many cases, it is something we’ll be clear and honest with you about if we it the right decision.
Can you Close a Limited Company with Debt?
Sometimes a company has reached a place no debt management company can help with. In fact, if you’re officially insolvent it becomes impossible to continue running the company in the same way, your responsibilities are now to creditors rather than shareholders.
Closing a limited company isn’t something you can do yourself if there are debts involved. Rather, you need to engage the services of a licensed insolvency practitioner to place the company in liquidation, sell any assets to repay creditors and then strike the company off the register at Companies House.
If you’re considering voluntary liquidation for your company, we recommend speaking with one our advistos right now for free debt advice.
What about free Debt Help Charities for Businesses?
Several charities in the UK operate to advise small business owners. One of is known as Business Debtline and is run by the excellent Money Advice Trust. They specialise in offering support and advice to small business owners seeking answers to difficult questions around debt.
Business Debtline’s website contains a lot of practical information too, plus templates to establish priority vs non priority debts and useful budget sheets.
Find out more about Business Debtline here.
Small and Medium Business Debt Help
Business debt can be a deeply stressful situation for the company director. Late VAT, an inability to pay suppliers, business rates or HMRC may all signifiy your finances are reaching a point where they need professional attention.
Many who reach out to us have failed to act due to the severity of the situation, frozen into inaction and hoping the situation will improve by itself.
What many people find, however, is that as soon as they speak us the situation becomes manageable. There’s a clear understanding of the situation and a path to resolution.
This may mean a structured debt repayment plan with creditors, or it may mean liquidating the company. But in both these situations the stress radically diminishes, and we take over the creditor communication for you.