Small Businesses and Sole Trader debt advice

In times of economic contraction it is often the small business or sole trader, or small limited company that suffers disproportionately from the downturn. Many of these types of business only employ the husband and wife or perhaps a couple employees. Any small adjustment in income or expenditure can make the difference between a profit and loss for any one month.

The business may rely on one supplier or purchaser and the loss of either can wreck a business as it is simply not possible to bring in a new supplier overnight, especially if the item supplied is bespoke.

If you are a small business trader and are worried about how the current recession may affect you personally, or how you trade out of your situation, you can call us free of charge for debt advice.

If you are a sole trader, you need to be wary of bankruptcy, and there are debt solutions for sole trader businesses such as IVA’s which can allow you to trade whilst you pay off old debt.

If you are a small limited company, with little in the way of assets, it is easy to become insolvent. As a director you need to be aware of this as you must avoid wrongful trading, because this can mean that you may be personally liable for additional losses suffered by the business. However, if necessary it is easy to wind up, or liquidate a small business, and remove that danger.

Many of the small businesses or limited companies who call us are run by directors who have put much of their own money into the business to keep it going. This is not always a good idea. Many a small business owner has thrown good money after bad propping up a failing company. This is not necessary. You can save the business and let the debt ridden company fail in many situations. The key for us is to ascertain what it is that you wish to do with the business and then we can work on the solution.

Typical solutions are a CVL, or creditor’s voluntary liquidation, CVA or company voluntary arrangement or an administration.

Contact Steve Thatcher of Help With Debt (UK) Limited a total debt solutions company.
For all further reading see http://www.helpwithdebtuk.com
For personal contact email sthatcher@helpwithdebtuk.com

If you have any debt problem whatsover either personal or corporate make Steve your first call all advice is free. Finally if in the UK and you need a friend to speak to call 01162171406

Visit http://www.helpwithdebtuk.com

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