BUSINESS RECOVERY AND INSOLVENCY
Sometimes business grow and boom and other times business have to face that ultimate dreaded day when the profits just aren’t high enough and the debts keeping piling up. A company becomes insolvent when it can not pay its debts, bills are overdue and the balance sheet shows more liabilities than assets. If you are in this position then your business may be at risk of liquidation. One or more of your creditors may take legal action in order to recover their due payments or the bank could be pressuring you to pay back your overdrafts. When your business has reached this point it is best to turn to professional advice. Our team has experts on business recovery and insolvency who will give you solid advice on what to do next and how to make the best of a bad situation. Liquidation is always the last resort of the company, before that we will help you explore other options to recover from this state. What can be done?
- We will conduct a thorough analysis of your business liabilities to see what can be cut down and how costs can be reduced. By reducing overheads and operating costs your business will be saved from haemorrhaging monies that can be otherwise saved.
- The business finances need to be restructured. Our team will run you through all your best options to optimize the business finances and plan for the future.
- Raising fresh capital would allow the business to recover by paying off its debts and fending off creditors. We will help you explore any available avenues of fresh capital generation that your business may have.
- The highest source of pressure that your business will be under with be from creditors. Our team will help you attempt to devise an informal agreement with the creditors to repay your debts without having any legal actions taken. This will save your company from immediate liquidation and grant you some time to get things in order.
- We can also attempt to seek a formal agreement in the form of a Company Voluntary Arrangement (CVA) on the debt repayment. This would bind the company to legally pay off its debts, or part of the debt, to its creditors on the agreed upon period of time during with the company can continue operations and generate revenue to pay back its loans.
- Another option we will help you explore is selling off a part of the business to generate revenue that can be used to recover from the insolvent state.