Business Rescue & Insolvency - Sole Traders & Partnerships

Help and Support for Sole traders & Partnerships

Financial difficulties inevitably cause uncertainty and anxiety for those involved. Sole traders and partnerships are, unlike a director of a limited company, automatically liable for the debts of the business, possibly putting other personal assets at risk, such as the family home. We understand the problems and stress these tensions can cause and know that speedy solutions and an understanding of the way forward are in everybody's best interests.

Where a sole trader or partners experience financial difficulties they should and must:

• Establish an up to date financial position of their business,
• Consider the realistic prospects for survival, taking care not to be overly optimistic or unduly pessimistic,
• Formulate and implement a prioritised action plan to remedy the business's financial difficulties where viability is not in doubt, and
  
• If necessary, seek the advice of a licensed Insolvency Practitioner immediately where that viability is in doubt.
  

We can advise you and your client whether there is a need for informal or formal insolvency proceedings, which could result in the rescue of the business and avoid bankruptcy.

Our services may include;

• A provisional financial health check encompassing a review of any potential future prospects and funding requirements, we will give our recommendations;
• An individual voluntary arrangement (IVA), where the creditors contract to accept a portion of the debt outstanding, which is paid over a period; this avoids:
  • the stigma of bankruptcy
  • the seizure of personal assets
  • the restrictions of bankruptcy, particularly the ability to incur credit and act as a director.
• Bankruptcy – this would normally only be recommended as a last resort. We will explain and lead you and your client through the different processes and can act as your trustee in bankruptcy.
  

Our aim, wherever possible, is to get your clients back on their feet and thus preserve your relationship. Our close working association with you, the professional advisor can be invaluable in establishing the programme of recovery.

For a FREE initial no obligation chat complete our contact form or ring FREEPHONE 0800 085 4127