These businesses can barely survive at the moment and are treading water. They are still trading because the government has supported them during the pandemic but they have little or no cash reserves and hardly any trade or expected business in the future.
At my firm we are helping a number of businesses with refinance packages. It is sometimes necessary for businesses to go into liquidation, enter a CVA or refinance their structure. There are ways to restart business in a stronger and better position.”Nigel Holland
There is a large number of firms posting insolvency notices in the London Gazette, the official paper of record for public notices.
There was a spike of 4,200 insolvencies in March as the UK headed into lockdown. A company is insolvent when it can’t pay its debts.
The rate of insolvencies slowed over the next three months, with a further 5,000 businesses insolvent – a drop of 23% compared to the same period last year.
If any business would like to discuss the possibility of entering an insolvency arrangement we can help you. Please telephone Nigel Holland on 0151 420 6666.