With the lockdown restrictions now easing and Government support reducing, consider taking action now to improve your cash flow which could be essential to your business.
The Corporate Insolvency and Governance Act 2020 (CIGA) which came into force on 26 June 2020 assisted struggling businesses through the downturn from Covid-19. This allowed some temporary measures to be in place such as extensions to the time periods for the filing of the various documents at Companies House, including company accounts. CIGA is part of the Government's unprecedented action to support businesses through this global crisis.
- Review your cash flow
Extensions of time and periods of grace have been granted to customers by suppliers during Covid. However as the position is changing, consider whether your business can continue to support your customers to the detriment of its own cash flow. - Take action
Unpaid invoices can pursued on your behalf by way of a letter before action which allows 14 days for a response, invites a payment proposal and provides details for making payment. Over 80% of letters before action prompt a response and payment or a settlement is achieved without the need for Court proceedings.
Blaser Mills Law offers a cost effective debt recovery service is an efficient and economical way to collect unpaid invoices and improve cash flow with the cost starting from £1.50 plus VAT. We also deal with insolvency claims and any disputes arising from outstanding invoices or contractual disputes.
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.