Preparing For When Government Covid Support Schemes End

The coronavirus pandemic has undoubtedly affected a significant number of businesses throughout the UK, and many of those have taken advantage of the various Government support schemes, whether by furloughing staff, utilising CBILS and Bounce Back loans or simply applying for rate relief.

The Government’s response at the outset of the pandemic was commendable and has continued to be so throughout. However, furlough is likely to end fully at the end of April with repayments falling due on CBILS and Bounce back loans starting around the same time. For certain industries, whilst being allowed to reopen will be a relief, there will undoubtedly be the worry of how to finance trading after having no income for so long.

Our aim is simple – to help you re-establish the business that you had pre pandemic without the worry of being debt laden for years to come.

The loans, which most businesses have had to take to keep afloat, would normally not have been needed. Having taken them they will shortly need to start to be repaid, and whilst the terms may be slightly more generous than the usual high street loan, nevertheless, this will be an additional burden on most businesses cash flows. All the loans have effectively done for a number of businesses is disguise the deteriorating cash flow position by replacing turnover with borrowing.

It is likely that once the current lockdown ends, there will be a return to some form of tier system, whilst the vaccination programme continues. Certain industries will therefore still be more susceptible to disadvantageous trading conditions than those that will be allowed to reopen first.

It is without doubt that the economic landscape has changed irretrievably, and business owners and entrepreneurs are going to have to adapt their business models to life after lockdown. There will be a number of different pressures that simply did not exist before Covid.

Many companies may find that they still have a viable business, but the effects of the pandemic have caused the actual company, not the business itself, to be saddled with debt that maybe incapable of being discharged without it affecting trading. Here at CFS we have extensive experience at identifying such businesses and helping directors and shareholders restructure the business in such a way, that existing levels of debt can be easily managed, allowing the directors to focus their full attention of getting their business going again, without having to worry about the accumulation of debt through the pandemic.

We can advise and tailor a solution to take into account all of the issues that you may currently be worried about including:

  • HMRC liabilities
  • Accumulation of trade liabilities
  • Legal proceedings
  • CBILS and Bounce Back loans
  • Refinancing your business
  • Numerous restructuring options

Our aim is simple – to help you re-establish the business that you had pre pandemic without the worry of being debt laden for years to come.

The initial consultation is completely without charge – we will give you whatever time is necessary without charge, to allow you to fully explore all of the options available to you. All you need do is simply call one of our partners on 0115 838 7330 or email anyone of us at:

Preparing For When Government Covid Support Schemes End

 

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