What To Do When The Smaller Cushion Isn’t Big Enough
If you run a business and you owe £10,000 or more to one or more other businesses, it will become slightly easier for your creditors to serve a winding-up petition from the end of this month. This is because ‘bigger cushion’ temporary restrictions imposed during the pandemic will be replaced by ‘smaller cushion’ temporary restrictions until 31st March 2022.*
⏳ However, as part of these changes your creditors must give you 21 days to propose a resolution for payment of the outstanding debt, before being allowed to present a petition. (This is a high level heads up only: Your insolvency practitioner/ business recovery specialist will be able to fill you in on the details and provide professional advice.)
I regularly jump in to assess alternative finance options for businesses, getting indicative terms across within 24-48 hours.
Do you know a business that has trouble paying back their creditors more than the equivalent of a small family holiday – or less?
This information is for general purposes only and does not constitute business or legal advice. To discuss your requirements and explore business finance options please get in touch: bcacao@cc-finance.co.uk.
*) Commercial tenants who owe rent will continue to be protected until March 2022.
"If you need to raise funds for your business or property have you spoken with your bank yet?" This is the first question I ask business owners, property developers and landlords. High street banks…
