We’re aware that the common assumption for needing advice from an insolvency practitioner is when your company is in financial difficulty and close to closure. A lot of the work we do revolves around helping businesses when circumstances aren’t the best and there’s pressure building from third parties like creditors, HMRC and the bank.

That said, the work we do also helps business owners to plan the future of the company when circumstances are good. When the company is solvent, trading well, and creditors are comfortable with your ability to repay debt.

In this blog, we explain more about how an Insolvency Practitioner can help you to plan the future of your company.

Typical scenarios when you could be considering the future of your company.

As we’ve mentioned, we help company directors to plan the future of their company when it’s solvent and not under financial strain. What exactly do we mean by that?

• You’re looking to retire

When you own a business and you’re approaching the age you wish to retire, you can’t just up and leave. A lot of your wealth will be tied up in the company and you could have employees who you’d like to see kept in employment.

• You’re looking to move on to something else

You’ve reached a point where your heart is no longer in the business. Perhaps you’d like to try something totally different but you can’t do that until you’re no longer responsible for this company.

• Your goals have changed

You may have decided that you want a complete change in lifestyle and running a business is no longer part of your goals.

We’ve seen a lot more change in goals and outlook since the pandemic. People have been given the time to reflect on a lot of change in a short space of time, so it’s only natural that we will see more business owners stepping away to do something different.

How an Insolvency Practitioner can help you plan the future of your company.

One of the most common questions we’re asked by solvent company owners is “what can I do with the company?” Until they know the different options, it’s difficult for them to see a path forward.

The options will all depend on what the company director wishes to achieve – do they simply want to close the business? Sell it on? Continue as an employee and phase out gradually?

Once we understand where the company director wants to be, we can then advise on potential suitable options, which could include:

• Assisting with selling the business as a whole
• Selling part of the business
• Winding the business down followed by members voluntary liquidation

How we’ve been helping company directors recently

Here’s some recent examples of where TruSolv have assisted clients to plan the future of their company:

Restaurant owner

• Restaurant had ceased to trade and owner was looking to sell.
• Initial advice provided on options to consider.
• Agent instructed to market the business as a going concern.
• Continue to monitor the sale process with a view to liquidation of company as appropriate.

Salon owner

• Hairdressing business where owner looking to move on to something new.
• Advising on wind down and options on sale of business
• Planning for liquidation on completion of wind down or sale.

Mechanic owner

• Hit by Covid and other life events that have meant the company is simply unable to continue.
• Advising on options, asset realisation strategy and business closure.

How TruSolv could help you

All of these examples started with a phone call to TruSolv. They may have gleaned some hypothetical advice from well-meaning business friends and contacts but the advice can never be certain without the facts.

It is always best to speak to us directly and we can ask the right questions and start to paint a picture of the right options for you to plan the exit from your company.

Call us today on 0808 196 8676 or email help@trusolv.co.uk.