A good friend of mine owns a small/medium size building company which has run into trouble. I think the bottom line is he was reselling a development plot of land to an investor but the deal has been perpetually delayed (not sure it'll ever happen) and he has debts built up on the run costs of the business that he was planning to clear by the funds from the sale of that property.
Cash flow for the business is dried up and payment of staff has been delayed and I know he has run out of credit with suppliers and owes money to suppliers and contractors. He's handling it with a 'I need to battle through and make it work' mentality and has not really acknowledged that the business may not survive. He hasn't laid off any staff to cut costs as he hopes he won't have to. He's also just received an audit notification from Revenue, I've no reason to believe there are any issues, but at a minimum that will add further stress.
He has business advisors and solicitors he's been dealing with and getting advice from, but I feel he needs to get advice from someone totally independent from the situation who can make an assessment of the situation and tell him if there is any feasible scenario in which the business can survive (and what to do if so), or to hopefully have him accept it if that is not the case, and how to manage it most appropriately if so.
He's a good friend and a few of us are worried about him so any suggestions on advice to pass onto him would be much appreciated. Thanks.
Cash flow for the business is dried up and payment of staff has been delayed and I know he has run out of credit with suppliers and owes money to suppliers and contractors. He's handling it with a 'I need to battle through and make it work' mentality and has not really acknowledged that the business may not survive. He hasn't laid off any staff to cut costs as he hopes he won't have to. He's also just received an audit notification from Revenue, I've no reason to believe there are any issues, but at a minimum that will add further stress.
He has business advisors and solicitors he's been dealing with and getting advice from, but I feel he needs to get advice from someone totally independent from the situation who can make an assessment of the situation and tell him if there is any feasible scenario in which the business can survive (and what to do if so), or to hopefully have him accept it if that is not the case, and how to manage it most appropriately if so.
He's a good friend and a few of us are worried about him so any suggestions on advice to pass onto him would be much appreciated. Thanks.