Finding yourself in debt can be devastating, whether through personal debt or corporate debt. It can be difficult to come to terms with your circumstances and even more difficult to decide how to move forward in the situation. However, as well regarded insolvency solicitors, we can help you to move forward and to feel that you have the control back in your life.
There are a number of different ways in which insolvency may be affecting you, such as:
Any of these circumstances can result in the winding up of your business or facing a bankruptcy petition in order to pay off the debts you owe. These are very real threats to you and the future of your business and you need to act as quickly as possible to ensure that you can remain trading.
There are steps you can take to protect both you personally and your business and one of these options is a Corporate Voluntary Agreement, also known as a CVA.
This will allow you to start to pay off the money you owe, whilst also allowing you to work on your business and start to turn it around. Whilst a CVA can only be used when your business is still feasible, it also has to be agreed by your creditors and will become a legally binding agreement.
If you are facing a statutory demand, this is a court order to pay any outstanding debt within 21 days of the order. Failure to pay can result in the winding up of your company or bankruptcy in order for the creditor to recover their debt.
You can apply to the court to have a statutory demand thrown out, and you must do this within 18 days of receiving the order. It will only be thrown out if the court agrees with you. In these circumstances, they will arrange a hearing to discuss the debt and the clock will stop. However, if you fail to get the statutory demand cancelled, then the time will restart and you must pay the outstanding within the 21 days stipulated.
With your livelihood at stake you are obviously going to be stressed and upset with the situation you are in. However, we will review your circumstances in detail and provide you with a plan about what your next steps should be. All options and alternatives will be explored with you so you are absolutely clear about each of them and the implications of putting them in place.
By receiving clear advice about your options, you can start to formulate a plan to either continue on with your business or look at the best exit strategy.
Whilst insolvency can be difficult, we aim to make it as painless as possible for you.
If you would like to discuss your options about insolvency or any other debt related issue such as debt collection, please do get in touch as we can help.
You can call our team of insolvency solicitors on 020 7490 5861 or email us at firstname.lastname@example.org and we’ll be happy to help.