The reasons behind the crisis may be different this time, but many of the existing financial systems and tools we can put at your disposal will still prove vital to the successful survival of your business and in this rapidly developing situation we are proactively evolving new strategies and ways of working as each day goes by. We are here to help and we are available over the phone, by email and online, so please get in touch if your business needs urgent assistance.

Immediate Advice: Call or email us for a detailed discussion of individual circumstances.

Business Support

The situation is moving very quickly but your accountants will be monitoring information as it flows from central government and they will be well-placed to advise. If your situation becomes difficult very quickly, possibly because the business was already struggling before the crisis hit, we will be pleased to assist your accountant with the professional advice and services our Licenced Insolvency Practitioner can offer.

Cashflow

Act immediately to slow the flow of cash out of your business. Business rates have already been suspended for certain sectors and grants are available to others. Talk to your bank, your landlord, your finance companies and any other regular cost centre to ask for reduced or suspended payments. If there are outstanding debts to HMRC, talk to their helpline advisors – measures are already in place to extend the Time to Pay scheme that was already in place. Finally, consider cancelling any non-essential monthly expenditure such as subscriptions or memberships and, if wages are your major outgoing, make as much use as possible of the schemes that the government has made available to reduce the burden on the business.

Also act swiftly to increase the flow of cash into your business. Ask customers, especially any larger businesses, to settle outstanding invoices, or make early part-payments. Will any of your customers value your services despite the current crisis? Is there a project that could be worked on or even brought forward to make the most of this enforced ‘down-time’, thus creating a fresh flow of work? If so, consider asking for a down-payment, or stage payments.

Additional Finance

Those with the necessary type or level of business insurance might have cover that can provide income during the crisis. Check for Business Interruption Cover in your commercial insurance policy and contact your insurer to be sure the current pandemic is covered.

The British Business Bank has put in place the Coronavirus Business Interruption Lending Scheme which provides participating lenders with a government-backed 80% guarantee against the outstanding facility balance. Details can be found here: www.british-business-bank.co.uk/ourpartners/coronavirus-business-interruption-loan-scheme-cbils-2/ The scheme can be accessed direct from the lenders involved.

Free Expert Advice in an Emergency

If, as the weeks go by, these measures are not enough to keep your business afloat you may come under great pressure from creditors and feel that the survival of your business is threatened. If this should happen, don’t panic, but get in touch immediately. The earlier we know of your situation, the more tools we have available to help. It is important that we act quickly to protect company directors from any further financial exposure.