19 February 2018: The Insolvency Service recently published its figures for 2017 and the news highlighted concerns. Personal insolvency numbers are at their highest since the financial crisis of 2008, up by nearly 10%. The number of corporate entities facing formal insolvency processes are also on the rise.
The statistics are based on the formal recorded insolvencies and do not take into account the individuals and companies that are currently under the radar in a variety of informal arrangements with HMRC and other creditors, or simply making ends meet – those so called “just about managing”. Whilst operating in an environment where interest rates are set to rise and the impact of leaving the European Union is still uncertain; you could be forgiven for thinking that the trend of increasing insolvency figures is set to continue. However, at BRI we believe in finding innovative solutions that will assist companies and individuals to take the action required to take control of their situation before formal insolvency becomes an inevitability.
The Milton Keynes team was approached by a board of directors who had concerns about the company’s ability to continue to trade. After carrying out a review of the financial position, we were able to identify a point in time of no return for the company. With our help and support the Company was able to make suitable adjustments to its operations. We encouraged the directors to focus on the pertinent points that would immediately relieve working capital pressures. We also identified ways of eliminating potential threats of enforcement action, thereby providing the company with breathing space to obtain additional investment. In summary, we were able to successfully implement a solution that avoided the company reaching its tipping point.
We want you and your clients to seek advice and guidance in good time. We are committed to finding the right solutions by thinking outside of the ordinary boxes and finding solutions that are tailored to the specific needs of a particular individual or business.
Please contact any one of BRI’s experienced management team if you or one of your clients would like to explore available options to deal with financial pressures.