Hi hope this is the right thread sorry if its not,My company is going burst i have never been in this way before, money is running out in the company bank account, i really dont know what to do or who to talk too? i have a company van thats still not fully paid for other bills like insurance, phones,accountant,an my wages to pay.Never been on the dole ever married with 3 kids morgage, holiday apartment an a rented property . is there anyone i can go and talk too ive been thinking maybe i should go an speak too my bank manager an get an overdraft or is this more dept, worry sick please help.
company going bust
- Thread starter hawkmar
- Start date
Re: company going burst
Hi
First thing to do is to stop trading if you think that there is no way for the company to repay its debts. If you continue to trade when you know this is the case you may loose unlimited liability. Next thing is to consider putting the company into liquidation. If it is solvent, then it is a voluntary liquidation or strike off. If it insolvent then it is an involuntary liquidation which is more expensive. Shop around for a good priced and experienced liquidator. Dont go for the "blue lable 20k jobs" when it can be done for 4k elsewhere.
If you have any personal guarantees with banks these will need to be dealt with and a repayment schedule hammered out.
You should still be entitled to job seekers allowance although it will be means tested.
Hope this helps and good luck
dbran
Hi
First thing to do is to stop trading if you think that there is no way for the company to repay its debts. If you continue to trade when you know this is the case you may loose unlimited liability. Next thing is to consider putting the company into liquidation. If it is solvent, then it is a voluntary liquidation or strike off. If it insolvent then it is an involuntary liquidation which is more expensive. Shop around for a good priced and experienced liquidator. Dont go for the "blue lable 20k jobs" when it can be done for 4k elsewhere.
If you have any personal guarantees with banks these will need to be dealt with and a repayment schedule hammered out.
You should still be entitled to job seekers allowance although it will be means tested.
Hope this helps and good luck
dbran
Re: company going burst
Firstly, why is your company going bust, is it customers failing to pay what they own you?, is it a lack of customers? or are your costs too high?
Depending on your answers to the above, only then can you decide what the best course of action is and then and only then can you decide if it is worth continuing. There is no point in getting an overdraft if the company and business is not viable, all you'll be doing is adding to your debt
Perhaps if you posted more details of your financial position and problems you are facing, you may get better advice on here
Firstly, why is your company going bust, is it customers failing to pay what they own you?, is it a lack of customers? or are your costs too high?
Depending on your answers to the above, only then can you decide what the best course of action is and then and only then can you decide if it is worth continuing. There is no point in getting an overdraft if the company and business is not viable, all you'll be doing is adding to your debt
Perhaps if you posted more details of your financial position and problems you are facing, you may get better advice on here
Re: company going burst
Thanks for the replys guys, i am a bricklaying contractor no housing starting all the builders i was workin for have stopped, may have too look for work in england in the newyear. really dont know what too do who should i be talking to accountant, bank manager or who?
Thanks for the replys guys, i am a bricklaying contractor no housing starting all the builders i was workin for have stopped, may have too look for work in england in the newyear. really dont know what too do who should i be talking to accountant, bank manager or who?
Complainer
Registered User
- Messages
- 4,949
Re: company going burst
Talk to your accountant today, as a first step.
Talk to your accountant today, as a first step.
Re: company going burst
Hawkmar sorry to hear about your business problems. Talk to your accountant. things may not be as bad as you think. Worries me that you would not automatically speak to your accountant. Your bank manager will only tell you what suits his bank. If your accountant does not have the experience to deal with this type of issue then you need to talk to a specialist. Many younger accountants have no experience in debt management due to the protracted boom the country has gone through. If you need a specialist pm me and I will put you in contact with my advisors. Indicate also where you operate from. Some of these issues seem huge at the moment but from the moment you accept certain inevitabilities things can seem much better. Firm conclusive action is needed. Listen to no one except the specialist you ask advice from. Forget the pub talk - there is so much rubbish out there!. Also if you, your wife and kids are healthy you are in a much better place than many more people.
Hawkmar sorry to hear about your business problems. Talk to your accountant. things may not be as bad as you think. Worries me that you would not automatically speak to your accountant. Your bank manager will only tell you what suits his bank. If your accountant does not have the experience to deal with this type of issue then you need to talk to a specialist. Many younger accountants have no experience in debt management due to the protracted boom the country has gone through. If you need a specialist pm me and I will put you in contact with my advisors. Indicate also where you operate from. Some of these issues seem huge at the moment but from the moment you accept certain inevitabilities things can seem much better. Firm conclusive action is needed. Listen to no one except the specialist you ask advice from. Forget the pub talk - there is so much rubbish out there!. Also if you, your wife and kids are healthy you are in a much better place than many more people.
Re: company going burst
Thankyou joe for your reply have spoken to my accountant on the phone were makin a start now to begin closing it down he says its not as bad as it seems (easy for him to say) but its a help i guess knowing theres a lot more people out there in the same boat as me, wonder if i can get the dole or something now? how i am going to pay for things i dont know.
Re: company going burst
This has to be one of the hardest things i have ever done i built this company up myslef over 15years of hard work up at 5am in the morining and not getting home until 7pm never let anyone down always got the job done too very high standerds built up a good rep too along the way, worked hard made a lot of money and had a very good life up untill now, i feel so sad about having to let it go, i guess its the times we are living in.
This has to be one of the hardest things i have ever done i built this company up myslef over 15years of hard work up at 5am in the morining and not getting home until 7pm never let anyone down always got the job done too very high standerds built up a good rep too along the way, worked hard made a lot of money and had a very good life up untill now, i feel so sad about having to let it go, i guess its the times we are living in.
Re: company going burst
This I think is why so many people are now in big trouble. There is no mention of any " rainy day."
This I think is why so many people are now in big trouble. There is no mention of any " rainy day."
Re: company going burst
Yes the rainy day i have some saving, if i had one more year of work all my depts would have been payed, but now i must go an talk to people and try an work things out, theres alot of people in a hell of a lot more trouble than me.
MichaelBurke
Registered User
- Messages
- 196
Re: company going burst
Sorry to hear about your problems hawkmar, yeah the accountant route is the first and best place to start. You should also be thinking of where to go from hear, yeah I know one step at a time, do some of the simple stuff yourself, list your assets (easily liquidable and not so easily liquidable). You may need to fire sell some of your assets just to consolidate things. Right now the most important thing is your kids future and security, right? So everything you do should be focused on that so matter what, just secure yourself and hopefully when things do turn around you will be able to bounce back.
Hope it all works out for you.
Sorry to hear about your problems hawkmar, yeah the accountant route is the first and best place to start. You should also be thinking of where to go from hear, yeah I know one step at a time, do some of the simple stuff yourself, list your assets (easily liquidable and not so easily liquidable). You may need to fire sell some of your assets just to consolidate things. Right now the most important thing is your kids future and security, right? So everything you do should be focused on that so matter what, just secure yourself and hopefully when things do turn around you will be able to bounce back.
Hope it all works out for you.
Re: company going burst
Thanks michael, had a meeting with account today were going to put my company away for a rainy day it owes nothing to no one, only thing is my company van witch is on hp total repayment is 5500 so not to bad. and if things pick up i can open company up again witch was music to my ears. thankyou very much eveyone for your support in these hard times ye are such a nice bunch of people & a great help.
Thanks michael, had a meeting with account today were going to put my company away for a rainy day it owes nothing to no one, only thing is my company van witch is on hp total repayment is 5500 so not to bad. and if things pick up i can open company up again witch was music to my ears. thankyou very much eveyone for your support in these hard times ye are such a nice bunch of people & a great help.
Re: company going burst
Great to hear it's not all bad. I feel for you as I run a small business in the construction sector, at the moment I am working flat out just to pay staff and suppliers, I feel as if I work for them. A lot of small businesses will feel the pinch in the new year,especially after paying holiday pay.
Best of luck in the future.
Great to hear it's not all bad. I feel for you as I run a small business in the construction sector, at the moment I am working flat out just to pay staff and suppliers, I feel as if I work for them. A lot of small businesses will feel the pinch in the new year,especially after paying holiday pay.
Best of luck in the future.
Re: company going burst
Davy and Hawk. I feel for you guys. I dont think the public or the government really appreciate the work being done by small business in keeping people employed. The minister for finance was quick to praise the civil servants yesterday. I did not hear any praise for the huge amount of work being done by sme's throughout Ireland straining against huge inefficient bureaucratic state bodies, high taxes, low demand and poor rewards for themselves.
Davy and Hawk. I feel for you guys. I dont think the public or the government really appreciate the work being done by small business in keeping people employed. The minister for finance was quick to praise the civil servants yesterday. I did not hear any praise for the huge amount of work being done by sme's throughout Ireland straining against huge inefficient bureaucratic state bodies, high taxes, low demand and poor rewards for themselves.
B
Bingo
Guest
Re: company going burst
I'm kinda in the same boat however I'm behind with VAT and income tax to the tune of €20,000. I was hoping to trade out of the situation but find myself getting in deeper. I've a limited company with the revenue sheriff on my tail. The Sheriff has already taken my equipment. I don't have any money, my overdraft is maxed and the bank is making me restructure to a term loan. I'm also personally in debt having borrowed to bail my company out to the tune of €34,000. My main supplier is family so they will be paid over time and the rest will be paid this month. I need to send a letter to revenue and the sheriff informing them I have now stopped trading and trying to start a fresh. Finding it very hard to write the letter, what should I say?
I'm kinda in the same boat however I'm behind with VAT and income tax to the tune of €20,000. I was hoping to trade out of the situation but find myself getting in deeper. I've a limited company with the revenue sheriff on my tail. The Sheriff has already taken my equipment. I don't have any money, my overdraft is maxed and the bank is making me restructure to a term loan. I'm also personally in debt having borrowed to bail my company out to the tune of €34,000. My main supplier is family so they will be paid over time and the rest will be paid this month. I need to send a letter to revenue and the sheriff informing them I have now stopped trading and trying to start a fresh. Finding it very hard to write the letter, what should I say?
Re: company going burst
If the main debts are company debts and these have been genuinly incurred you should consider (only consider!) the option of liquidating the company. The cost of liquidations are coming down. A liquidator would cost approx 5 -7k for a company with a small amount of assets. The liquidator gathers the assets of the company, organises a creditors meeting and pays out a dividend - usually to the revenue. The personal debts and any personal guarantees remain. Before you make any personal decisions see an insolvency practioneer. PM me if you need a referal. Indicate where you operate from.
If the main debts are company debts and these have been genuinly incurred you should consider (only consider!) the option of liquidating the company. The cost of liquidations are coming down. A liquidator would cost approx 5 -7k for a company with a small amount of assets. The liquidator gathers the assets of the company, organises a creditors meeting and pays out a dividend - usually to the revenue. The personal debts and any personal guarantees remain. Before you make any personal decisions see an insolvency practioneer. PM me if you need a referal. Indicate where you operate from.
John Conlon
Registered User
- Messages
- 72
Talk to an accountant or insolvency practitioner. They can help you with expertise.
Revenue are also open to discussing payment difficulties.
For free advice contact MABS mone Advice and Budgeting Service.
However, they will be more limited on th company front
Revenue are also open to discussing payment difficulties.
For free advice contact MABS mone Advice and Budgeting Service.
However, they will be more limited on th company front
Unfortunately you are not alone, its a terrible position to be in. No point prolonging things if it means racking up further debts and running the risk of annoying creditors and increasing personal guarantees.
Unless of course you think you can come up with some unique way of generating new business.