As a small business owner, cash flow problems and challenging creditor communication can be daunting. The stress from these issues can take a toll on your mental and emotional well-being. Here are some practical strategies to help you manage these difficulties effectively.
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This week, we'll dive into the complexities of creditors' rights and the challenges directors face in meeting their obligations. Today, we will explore creditors' rights and whether they should be part of the final demand process.
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Dealing with debt is a common financial challenge. When debts go unpaid, creditors resort to debt recovery efforts. The relationship between debt recovery and credit reporting is significant, as it can profoundly affect the financial futures of debtors. In this blog, we'll explore the connection between these two aspects and their implications for those facing debts.
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Credit management is a vital aspect of personal finance. Being proactive about it can help you prevent debt issues. In this blog, we’ll explore the best practices for proactive credit management to reduce the risk of debt problems and enhance your financial health. Monitor Your Credit Regularly check your credit reports from major bureaus to spot and correct any errors. Use Experian.co.uk for your credit report. Build a Strong Credit History Maintain a good credit history by making timely payments and low credit utilisation. Don’t max out your credit limits. Maintain an Emergency Fund An emergency fund prevents you from
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Are you grappling with cashflow problems and struggling to communicate with creditors? If so, you're not alone, and the stress and worry can take a toll on your well-being. Here are some strategies tailored to help you address these issues.
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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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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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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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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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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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