Archives for Creditor

7 Useful Tips For When A Customer Goes Bust

7 Useful Tips For When A Customer Goes Bust

August 14, 2019 | No Comments

Big or small, we could all face that sickening notion when one of our Customers gets pulled into some sort of insolvent triangle. The kind that means you can’t get in to take out what you’re owed. “I’ve gone bust” “We’re shut, go away.” “We have entered into liquidation/administration” “We’re about to go bust, but are setting up a new company” What do most creditors (companies that are owed the money) do? Larger companies may likely just write the debt off. Smaller companies may seek further advice from their accountant. Below is a short guide to understanding the basics when
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How to avoid debt collectors showing up at your door

How to avoid debt collectors showing up at your door

July 3, 2019 | No Comments

There are countless articles out there explaining what you can do when a Debt Collector/High Court Enforcement Officer turns up on your doorstep. (Whether they appear at your front door or at the office.) … but what can you do to avoid them showing up in the first place? This information seems to be very hard to come by. Yet, I can’t understand why anyone would chose to deal with debt collectors if they knew how to avoid them getting involved in the first place. So, I decided to write this guide to try and safeguard you from falling foul
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Is There Ever A Right Time To Write Off Bad Debts?

Is There Ever A Right Time To Write Off Bad Debts?

May 22, 2019 | No Comments

This question has been posed to me many a time from SME’s and key decision makers. This should be guided by your Accountant, but realistically it really depends on your business circumstances. Many examples spring to mind regarding an ‘ideal time’ for a Bad Debt Write Off, here are just three of my experiences while working in this field: The Pub Owner Debtor: Pub Owner based in East Anglia, who ran a string of 3/4 pubs Debt Balance outstanding £60,000 Around mid 2008, a file of £60k landed on my desk, where £90k had been lent to this one PG.
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Company Directors Behaving Badly – Part 2

Company Directors Behaving Badly – Part 2

May 15, 2019 | No Comments

In last week’s blog I talked about the actions Creditors could take in relation to the Companies Act 2006. This week, I’ll be covering why the CDDA (Company Directors Disqualification Act 1986) was brought into contention, and the restrictions that can be imposed on fraudulent directors. This 2014 article from the Financial Times shows the type of nonfeasance is unlikely to be tolerated. Why the CDDA Thankfully, the vast majority of Directors have a fiduciary duty to act in the best interests of the company that they are representing. The good value that the Shareholders, it’s Staff and the overall
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Company Directors Behaving Badly – Part 1

Company Directors Behaving Badly – Part 1

May 8, 2019 | No Comments

Over the next couple of weeks I’ll be looking at Creditors rights. What they can do to keep on top of their credit checks and what restrictions are placed on Directors who continue acting without making changes. This week I’ll be exploring what Rights Creditors actually have. For businesses large or small in respect of trying to get their debtors to comply with their needs. … and should these needs be part of a Final Demand Process? Although not widely explored due to the cost of investigating and taking action, Creditors have the facility to issue a warning to the
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Why Dealing With Complaints Makes Financial Sense

Why Dealing With Complaints Makes Financial Sense

April 24, 2019 | No Comments

Having been committed to various roles in ‘Recoveries’ for the last decade or so … The sceptic in me always does a rigorous check to see if all angles have been covered before legal action is even considered. Now, you might be thinking – “Yes, I’ve covered everything All my letters/calls have been ignored.” Are you absolutely, 100% sure? As a Recoveries Consultant, dealing with the plethora of cases, I can tell you that around 9 out of 10 cases eventually cause or lead to problems. Out of those 9, usually 3 of those reverberate around a complaint of some sort
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3 Steps To Avoid Your Creditors Taking Legal Action

3 Steps To Avoid Your Creditors Taking Legal Action

March 20, 2019 | No Comments

What is a HCEO (High Court Enforcement Officer) and what do they do? Britain’s civil police force will, by any legal means necessary, enforce you to give up assets to pay for a CCJ, or a Judgment Debt. Often, this could have been avoided many days/months/weeks before. A few years back, I tweeted about the epidemic that was striking Britain, where Court Orders granted were unpaid. What some people forget is that many creditors will give the debtor (those at default on their Account with their Creditor) a chance to remedy their wrongs. They might do this through an abundance
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8 Tips For Small Business Owners With Late Paying Customers

8 Tips For Small Business Owners With Late Paying Customers

March 6, 2019 | No Comments

Some Small Business Owners I’ve known unfortunately shoot themselves in the foot by issuing out maximum credit terms. I understand, it may be one of your biggest Customers – and you need to keep them happy … … but if you offer them terms, they are unlikely to pay within the normal 30 day term period. Are you doing enough to avoid these pitfalls? If you’re just starting out in business or you need a better framework to govern your bad or late paying customers, here are 8 tips for you: Deposits If at all possible, get your Customers to
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How To Get Debtors To Pay Up

How To Get Debtors To Pay Up

January 3, 2019 | No Comments

What can you, as a business owner, do to get those difficult debts in? Especially if December was tight and January is looking likely to be even tighter. Here are five steps that can help you get through those unpaid invoices: 1) Find The Reason What are the reasons behind those who haven’t paid you? Many will come back saying cash flow is tight, but there may be other reasons that you haven’t considered; are they having personal struggles which take priority and cause them to lose focus on the business? Or are they waiting to be paid directly from
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4 Ways To Get Your Creditors To Help With Cashflow Issues

4 Ways To Get Your Creditors To Help With Cashflow Issues

December 5, 2018 | No Comments

Are cashflow issues and trouble communicating with your creditors causing you: Stress Worry Pains in your heart Headaches … Your phone keeps on going off. … The letters are flying through the door. … Threats of legal action. … Tax bills.   You haven’t got space to breathe.   “This will effect your credit history” is going through your mind all day. ………You’re feeling consumed………   Believe it or not, I know what you’re going through. I’ve been through a lot of it myself. (But that’s a story for another day.)   Creditors sometimes come up with erroneous payment plans,
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