As a sole trader, debts can be extra tricky to deal with because your personal finances aren’t protected from your business finances and vice versa. Many people assume that bankruptcy is the only option if you can’t afford to pay or your debts are unmanageable, this can mean having to wind up your business, leaving you with the extra stress of having no income on top of everything else.
As a sole trader, you can enter into a debt solution such as an IVA or a DMP, in the same way you could for personal debts. Both of these debt solutions allow you to reduce your monthly payments to a manageable amount, while having no restrictions on your trading.
