Can a company write off Bounce Back Loans?
Facing difficulty repaying your Bounce Back Loan (BBL) can be a source of significant worry, not only for your business’s financial stability but also for its future. A question that often arises during this time is “Can a company write off Bounce Back Loans”, effectively erasing the debt and moving forward without the burden? Well, […]
Personal Liability for Bounce Back Loans: Know Your Obligations And How To Manage Risk!
Bounce Back Loans were a vital financial aid during challenging times, but for directors, a potential headache is personal liability. While the government guarantees repayment, directors can be held personal liability for Bounce Bank in specific situations. This raises concerns about the potential consequences, which can be both financial and professional. To navigate these risks […]
Can You Get A Bounce Back Loan Repayment Extension? Here Is How!
The government’s Bounce Back Loan Scheme was a lifeline for many businesses during the COVID-19 pandemic. However, as the repayment period approaches, many business owners are wondering if an extension is possible. The good news is, yes, an extension is possible thanks to the government’s Bounce Back Loan Repayment Extension under the Pay As You […]
What are Unlawful Dividends?
Understanding unlawful dividends Unlawful dividends happen when cash is taken out from a limited company without enough profits to support it. Shareholders who receive such dividends might need to give back the money if they know the company can’t afford to pay it out. Alternatively, directors might have to repay not only their own but […]
What happens after you have signed a lease guarantee?
What happens if you breach a guarantee in a commercial lease? A commercial lease guarantee means you promise your landlord to follow the lease rules and pay your rent. If you break the agreement or can’t afford your commercial property rent, the landlord can use the guarantee. Then, your guarantor has to pay. What […]
Can I take money out of an insolvent limited company?
Can I take money from an insolvent company? If your business is facing financial trouble, you should stop trading right away. Keep all company funds and use them to pay back creditors. If your business can’t pay its debts and you take money out, you might get fined, become personally responsible for the debts, or […]
What is the difference between secured and unsecured creditors?
What is the difference between secured and unsecured creditors? When a company goes into liquidation, it sells all its assets. The money earned is used to pay off the debts. If a company is insolvent, it doesn’t have enough money to pay all its creditors fully. So, some creditors may not get paid what they’re […]
Investing Personal Money into a Company: Advice for Directors
Understanding the risks of using personal money to pay company debts If you use your own money to pay off company debts and improve cash flow, the risks depend on how your business is set up. As a sole trader, you’re personally responsible for business debts. However, if you run a limited company, you’re generally […]
How company debts could affect your partner
Do I need to repay my partner’s company debts? If your partner’s business faces debt issues, you might be responsible for its debts if the business account was opened jointly and both of you signed the loan agreement. However, if the account wasn’t opened jointly, you aren’t liable for your partner’s business debts. Does […]
Advice for unregulated finance brokers facing financial penalties
Advice for unregulated finance brokers facing financial penalties Finance brokers without regulation are facing more legal challenges about deals they arranged years ago. This legal action involves claims of wrongly selling various financial products, from personal options like bridging loans and mortgages to business borrowings such as loans and asset-based lending. Some people think this […]