Published: 05/10/2021 By Jane Price
Its not rocket science to know that cashflow issues are a sure sign that a company is having financial difficulties. When a company becomes less able to pay its debts as and when they fall due, its time to seek help from a professional advisor and very quickly!7 common signs that a business doesn’t have sufficient cash or working capital to pay its debts when they are due are as follows:
- Tax Debts
- Pension deductions
- Cancelling staff bonusses
- Lack of Investment
- Directors’ remuneration
- Stock levels
- An increase in stress
These seven common signs are explained in more detail on page 3 in the R3 Get Back to Business: A guide for dealing with corporate financial distress.
Financial distress can ultimately lead to insolvency and once a company reaches this stage, the options are limited. The earlier professional help is found and acted upon the more options there are to resolve the company’s issues.
Give us a call to talk through your situation with one of our experts, they will be able to offer you bespoke options tailored to your specific circumstance.
Call 020 8661 7878 or email insolvency@turpinba.co.uk