Sole traders and partnerships
Get fast, confidential insolvency advice from people you can trust.
Services for sole traders, individuals, and partnerships
A partnership or individually owned business earns the right of privacy over the business’ financial affairs, but the owners are held personally liable for all the business debt and liabilities. Of course, this is fine when things are going well – but in the event where business takes a turn for the worse, it could lead to the nightmare scenario of losing all your assets. However, should trouble occur and you find yourself facing sole trader insolvency, there are a number of formal procedures available to help protect you, your assets and the interests of your business going forward.
McAlister & Co is a modern, independent firm of insolvency practitioners who understand the difficulties people can face when running a business. With a qualified and experienced sole trader insolvency team, we are able to provide immediate, proactive advice about the different options available to you should you be facing financial difficulty. So, if your business debt is encroaching on your personal finances, call us today for free sole trader insolvency advice and let us guide you through this stressful and uncertain time.
Examples of the options available for sole traders, individuals and partnerships include:
Individual Voluntary Arrangement
Are you having to use personal savings and credit cards to repay unmanageable business debt? If you owe £15,000 or more in unsecured debt, you may qualify for an individual voluntary arrangement (IVA). An IVA is a legally binding agreement which protects you from legal action by your creditors. A repayment plan will be drawn up for a set time period (typically five years) based on what you can afford to repay – and after this period, any remaining debt will be written off. One of the biggest benefits of an individual voluntary arrangement is that your home and other assets are usually protected, and you are also able to continue trading legally without interruption. Find out more about sole trader IVAs here.
If you have a large amount of business and personal debt, including HMRC arrears, filing for bankruptcy means those debts will be legally written off. You will usually be released from bankruptcy restrictions after 12 months, meaning you can make a fresh start and you might even be able to continue trading. However, bankruptcy is a serious procedure that should not be taken lightly. Your income will be scrutinised, and it will stay on your credit record for six years. If you think that bankruptcy is the right solution for you, we can guide you through the bankruptcy process, helping with paperwork, offering professional advice and accompanying you to meetings and appointments. Please note that a one-off fee of £700 is payable to the court and insolvency service for your application to be accepted. Find out more about bankruptcy here.
If you are a sole trader facing financial uncertainty or sole trader insolvency, the sooner you seek professional advice, the more options you will have available to you. Don’t bury your head in the sand; by contacting McAlister & Co. today you can start to take back control and turn things around. Rest assured we don’t need any personal or company details to answer initial questions on your situation, so call us today on 03300 563 600 for FREE confidential advice.