If trouble strikes, it is essential to obtain professional advice as soon as possible. Time is of the essence, and with timely intervention, many businesses can be saved, often avoiding the crystallisation of directors’ personal guarantees.
When a business is in difficulties, seeking advice is psychologically difficult to do. No businessman or woman finds it easy to admit that the brainchild which they nurtured over the years and which provides their family income may be on the brink of insolvency.
However, delay can be fatal, and taking advice at the first signs of financial distress, may make the difference between survival or failure. Indeed, neglecting to take timely action by directors may result in charges of “wrongful trading” which could make them personally liable for the company’s debts.
Don’t wait until the “enemy” is at the gates.