“What exactly is an EFG’ and how could it affect me? Can you provide free advice?” The Enterprise Financial Guarantee, or ‘EFG’ was first introduced into the UK in 2008 to replace the Small Firms Loan Guarantee Scheme. The scheme…
‘Although my business has been successful until now, I have had a bad couple of months with the loss of a key customer that I am yet to replace. At the moment I simply can’t afford to pay my suppliers,…
Trying to make ends meet when your business is struggling financially can be extremely stressful and how do you stop creditor pressure? Maintaining a healthy level of cash-flow is one of the main challenges that small businesses face. Limited access…
Becoming the director of a limited company brings with it certain fundamental responsibilities laid down in the law. When these are not adhered to, directors risk what is called a ‘directors disqualification order’, which means they are banned for ‘unfit…
A statutory demand against a company is a formal, legal warning from a creditor, that is sometimes used as a key part of a serious debt claim. Any legal court judgement can be used as evidence of insolvency and this…
Wrongful trading can be better thought of as ‘irresponsible trading’ and mismanagement of an insolvent company. It was created as a statutory offence so creditors could recover money from directors who wilfully traded irresponsibly (and acted without care or consideration for the…
“Can you help with business funding and alternative finance for our business?” One of the biggest perceived hurdles for SMEs today is the perception that finance is difficult to get yet major Government sponsored research indicates that of all profitable…
Both individuals and companies can be described as ‘insolvent’ but, for individuals, bankruptcy is the more commonly used term. Companies are considered insolvent either when when debts outweigh assets or if the company cannot pay its bills when due. Once…
“I am trying to raise some cash to help my company trade on. Can I sell my company’s stock and assets to raise some cash?” The majority of directors have at one time or another kept their company afloat with…
A directors’ loan account (DLA) is simply a record of transactions between the director and the company itself, outside of the normal salary, or dividends. When a director takes more money out of the company than they put back in,…
