Payment difficulty

What happens if I just ignore the arrears?

It is human to want to look away from a problem. With arrears, looking away is the one response that reliably makes things worse.

Options narrow

While arrears are ignored, interest keeps accruing at 0.25% per day, the balance grows toward the 100% cap, and the easy fixes — an extension, a small arrangement — give way to harder ones. Silence spends your options.

Escalation follows

Unaddressed arrears eventually lead to formal notices and, potentially, default and recovery action against the company. None of this is inevitable if you engage; all of it becomes more likely if you do not.

Engaging reverses the drift

The moment you make contact, the drift stops and the options reopen. It is genuinely never too late to talk, and almost always better than the alternative.

Break the silence via the contact page — it is the single best thing you can do.

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: What not to do when your company cannot pay, The real cost of ignoring a cash-flow problem, Why talking to us early gives you more options.

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