Limited Companies
Is your business in financial trouble?
Running a company today can be volatile and it is likely that a number of companies will run into financial difficulty.
Directors must make an early decision on whether the business should cease to trade. Failure to do so may result in the directors having to contribute personally to the company's losses and be heavily investigated by the Department of Industry (DTI).
Under UK law, if a company is trading insolvent, a director may be liable for wrongful trading. If the director knew or should have known that the company could not avoid becoming insolvent but still continues to trade then he or she must cease to trade immediately and take steps to liquidate the company.
The director of a company which is facing financial difficulty should ensure that there is a reasonable prospect that the company will avoid insolvent liquidation before being party to any decision to trade on.
Deciding whether to continue to trade or not can be a huge problem. [more...]
The most common reasons for business failure
More than half of Britain's small businesses collapse because of cash-flow problems.
For some businesses, insolvency is the only option and companies are often wound up or partnerships bankrupted.
The UK Insolvency Helpline's commitment to market research and ongoing customer feedback has enabled us to publish the most up-to-date and fully comprehensive list of reasons for business failure. The below list of reasons for business failure have been taken from the last 65 cases we have dealt with. [more...]
- FastTrak online enquiry form
- What do we do?
- Is your business in trouble?
- When should your business seek advice?
- Reasons for business failure
- The 65 most common reasons for business failure
- Late payers - how to manage debt?
- How to deal with bad cheques
- Getting paid - avoid insolvency
- Predicting business failure
- Business failure - The facts
- Business failure - The choices
- Why a loan won't help you
- How do you dissolve a private company?
- Beware of ambulance chasers
- Fresh starts for limited companies
- What are a directors responsibilities?
- What happens to your employees?
- What is bankruptcy?
- Tax Debt
- Interactive tools menu
