Winding Up Petition Advice for Directors in the UK

At Boardroom Punks, we take an innovative new approach to helping businesses. We aim to work on every financial solution possible before the insolvency practitioners are called in. If you are seeking advice to help you negotiate a winding-up order, be assured that we have your interests in mind. SMEs are the backbone of our local economy, and we want to ensure that they are protected at all costs. Jobs, livelihoods, families, and futures are all interconnected with SMEs. The alternative approaches we offer are designed to protect both your business and lifestyle.

We have an elite team of financial experts that are serious about their trade. We have a variety of team members at Boardroom Punks with expertise in debt, VAT bills, business and project management, and government loans. Whatever advice you need regarding your winding-up petition, ensure that you have the right experts in your corner. We know how stressful it can be to deal with court orders, creditors, and consistent pressure from HMRC. Whatever stage you may be at, the Boardroom Punks will do their very best to come to the best possible solutions for your company.

Not only do we have experience across the board, but our business model was founded upon our managing director David Morgan. In 2008 he received the news that his chain of opticians was trading insolvent. After battling with the liquidators and the loss of £250,000, Morgan dedicated his time to finding alternative solutions that would help with restructuring both his own business and the SMEs of the future. Today, Boardroom Punks is the solution that our director strived for, and we believe that we have the right tools in place to get any business back to a state where it can stand on its own two feet.

However, don’t just take the claims of expertise from ourselves. Our business experts have put their skills to the test in many different trading models. Beauty salons, haulage companies, decorators, and even jewellers have all needed the advice of Boardroom Punks. Whatever SME you want to salvage, know that our solutions have been tried and tested across many different businesses. Some of the cases we are currently working on include businesses in the fitness industry, window installation, and wine. We always encourage our future clients to reach out and speak to those who have worked with us, as they are the best proof of our success.

A winding-up order is usually presented by either a creditor or HMRC. A winding-up petition aims to retrieve an outstanding debt through the means of a court. It is a statement of intent put forward, and if it is undealt with it can lead to the closure of a company. In the eyes of a director, the presentation of a winding-up petition may seem a hasty decision on behalf of the creditors, but it is often used as an act of transparency.

To instigate a winding-up order through a county court, the creditor must be owed at least £750 or more. In addition to this outstanding debt, there must be proof offered from the creditor regarding the intent of payment. For instance, if a director has failed to communicate or has no record of payment to the creditor prior to the instigation of the winding-up petition, then this can act as evidence.

There are different rules on winding-up orders between Scotland and England, and depending on where the enterprise is, the Boardroom Punks will deal with issues specifically during a consultation. However, some things are the same across the UK. 60% of winding-up petitions are issued by HMRC, and in most of these cases, it has been issued because of a lack of communication.

If a director of a company feels that the winding-up petition is the wrong decision, then they can appeal the decision within five of it being made. Depending on the size of the debt, it is also possible to negotiate with either the creditors or HMRC. The Boardroom Punks are experts in landing Company Voluntary Arrangements (CVA) and Time to Pay arrangements (TTP). Both of these can extend the time a debtor has to pay a debt.

A director must remember that instigating a winding-up petition is costly for a creditor or HMRC. Court deposits can be upwards of £2600, and it can cost an additional £800 to issue the order. As a director of an enterprise that owes money, it is best to attempt to understand the needs of a creditor, even if they may seem unreasonable. If a director can keep in constant communication with those to who they owe a debt, then it is unlikely that a winding-up petition will be instigated in the first place.

If you are a director of an enterprise and you need specific advice regarding debt or the difficulties of a winding-up petition, then we are always available to accept your inquiries. Even if you just need some direction for the future, it is always best to be on the safe side. With a confidential consultation, we will be able to identify the specifics and work toward a solution to avoid the potential of insolvency.

You can express any concerns surrounding debt you may have without any unnecessary pressure. If we believe that we can create an effective plan for your business, we will organise a meeting to analyse the problems in greater depth so that you can see how serious we are about saving the SME in question. Once the numbers are agreed upon, we will outline and execute the master plan that will allow your business to grow.

You are not alone during these difficult times, and the Boardroom Punks have your back.