Contracts had not been costed properly and the accounting system was non existent. The company was leaking money and when we scratched the surface it was clear that large debts had built up.
Redundancy
Mr I Wheeldon, Harrogate
"I had honestly never heard of Directors claiming redundancy but this payout has made a huge difference."
Finding the money to close your company is never easy and one of the biggest challenges Directors face.
At the Insolvency Practice we have a solution that could help to pay all your insolvency fees and leave you with an additional lump sum as well. It probably sounds too good to be true and most Directors are not aware that they can claim redundancy and could be due a substantial payment in just 6 – 8 weeks from making the application.
It is a common misconception that Directors have no right to claim redundancy but like any other employee (regardless of your shareholding) you may be eligible to claim and also receive any outstanding wages or holiday pay you are owed.
Of course redundancy payments are usually made by the company itself but if the company is insolvent and unable to pay its dues the Redundancy Payments Office will administer the claim instead and pay the money from National Insurance Fund.
It is a complex area of employment law but given the potential sums involved we always recommend Directors check their eligibility.Unfortunately most Insolvency Practitioners miss this potential payout.
Even if your company has no debts and you simply want to cease trading you could still claim redundancy. Instead of dissolving the business it often makes more sense to liquidate the company so that you can claim any wages owed and the redundancy pay you are entitled to from the government.
Very few Directors consider their statutory entitlements when they close their company and thousands are missing out on substantial payouts from the National Insurance Fund.
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If you are being threatened by creditors and have outstanding bills, you need to take immediate action. If the problem is not addressed quickly it may be too late to save your business and you could become personally liable for the debts. At The Insolvency Practice we can ensure you remain protected and show you the best way to clear your business debt.
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