You do not need much to have a productive first conversation about arrears — just a clear picture of where the company stands. This one-page list covers it.
- What is owed. Your outstanding balance and the payments you have missed to date.
- Cash now. How much the company has available today.
- Cash coming in. What you expect to receive over the next 30, 60 and 90 days.
- Essential outgoings. Wages, tax, rent, and the suppliers you cannot trade without.
- The cause. What triggered the difficulty and whether it is temporary or lasting.
- A proposal. A realistic figure you could pay, even if it is lower than the normal instalment.
Bring these and we can usually agree a way forward in a single conversation. Interest runs at 0.25% per day while a balance is outstanding, so the sooner you call, the less the delay costs.
We lend only to UK limited companies and LLPs, and the loan is to the company with no director personal guarantee. As business finance outside the consumer-credit regime, it is not covered by the Financial Ombudsman Service or FSCS.
See also: How to prepare before you call us about payment trouble, What information should I have ready before calling about difficulty?, Building a thirteen-week cashflow forecast.