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:
[email protected].
*) Commercial tenants who owe rent will continue to be protected until March 2022.
