If you have an insolvent business or feel you are heading in that direction Turnaround Solutions can assist.
Very few directors set out to manage insolvent businesses. An obvious statement perhaps, but one that is important to stress. The truth is, when problems arise few SME companies have the necessary skills in house to cope with the burden that insolvency can place on the company and in most cases, when a business is in distress, management spend a large proportion of their time fighting fires.
In our experience the first sign of a problem is your cash flow – or rather, the lack of it. Yes, minor issues can be dealt with, but without the right help those issues are likely to grow much bigger extremely quickly.
Typical signs of cash flow problems include;
- You are unable to get new credit or extend existing credit
- You are regularly being chased for payment by creditors but can’t pay
- You are trying to spread credit by opening accounts with new suppliers
- You are not filing VAT returns or making your VAT payment on time
- You have had a court summons or judgement
It’s easy to think that one more sale, one more contract, one big customer payment will solve the problem, but it won’t. Failure to pay creditors on time will lead to loss of trust and a breakdown of communication and if these warning signs sound familiar the likelihood is your business will become less efficient over time and decision making even more difficult.
The earlier an underperforming business is identified, the better the outcome, so contact us straight away. Turnaround Solutions is not an insolvency practitioner, however we can deal with all that creditor pressure, let you focus on your job and help take the business into a safe, protected zone.
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