With the benefit of hindsight, it sometimes becomes apparent that internal decisions regarding purchases, product pricing, salaries and office costs, for example, have resulted in unexpected debts, which can damage the health of the business.
What can lead to cash flow problems?
External factors may also result in financial strain for the business. Contract delays or cancellations, loss of customers and unexpected product supply issues are examples of matters which can quickly lead to serious cash flow difficulties.
How you deal with business debts will depend, to some extent, on whether your business is a limited company, a partnership or your own business as a sole trader.
How Bennett Jones can help
The Bennett Jones team can help you navigate business debts, and the challenges they present. This may simply mean that we assist in guiding your company back towards an earnings model that is profitable and returns the business to solvency.
If the problems are more serious, the Bennett Jones team can support you by looking at a range of solutions. These can include refinancing existing debts, informal repayments arrangements and also formal insolvency solutions designed to assist with business recovery.
With our support, you can consider every option, including selecting a plan for restoring stability immediately or over a gradual timeframe. Even if it is not possible to rescue your business, we will guide you through the process of an orderly wind down. In doing so, you’ll achieve the best outcome for you and the stakeholders in your business.