Published: 06/01/2025 By Hannah Duncan
Seeking guidance from a professional, such as an Insolvency Practitioner, is often much less intimidating than business owners imagine. In fact, many clients tell us, “I wish I’d contacted you sooner,” or “I can finally sleep at night!”We know how challenging it is to run a business, especially with external pressures like the cost-of-living crisis causing additional strain. But how do you recognise when it’s time to seek expert advice?
Recognising the warning signs
There are several indicators that a business might be in trouble, and acting early can often prevent complete failure.
Key warning signs include:
• Increasing creditor days: Struggling to pay suppliers on time can signal cash flow issues.
• Mounting debts: Particularly to HMRC or other creditors.
• Excess stock: Holding onto inventory that isn’t selling.
• Lack of investment: Minimal reinvestment in the business.
• Declining sales and rising debts: A more obvious sign of financial trouble.
If you’re working with a diligent accountant, they might flag these issues early and recommend seeking professional advice.
How an Insolvency Practitioner can help
Engaging with an Insolvency Practitioner as soon as concerns arise can open up more options and improve the likelihood of a positive outcome. These experts don’t just focus on formal insolvency processes, but they aim to help businesses recover and thrive.
By acting quickly, you allow more time for solutions, such as:
• Developing an action plan to address challenges.
• Implementing strategies to stabilise cash flow and improve operations.
• Exploring ways to avoid formal insolvency proceedings altogether.
Waiting too long for advice can limit your options, often leading to more severe consequences. When issues are ignored, the likelihood of a successful recovery diminishes, and formal insolvency might become the only path forward.
Take Action Early!
If you notice any signs of financial distress, reaching out to an expert sooner rather than later can make all the difference. Tailored advice, delivered early, can help you develop a plan to get back on track — often without the need for further intervention.
How we can help
At turpin barker armstrong, we offer confidential, no-obligation consultations to discuss your business’s challenges and explore solutions. Whether it’s over the phone, via video call, or in person at one of our offices, we’re here to help.
Visit our business turnaround page or take our insolvency test to learn more. When you’re ready to talk, we’ll be here to guide you.
Call us on 020 8661 7878 or email insolvency@turpinba.co.uk