Sole Traders and Partnerships
When a business trades as a sole trader or partnership, it is often confusing for owners and creditors to unpick and understand the difference between the business and personal positions of the owners.
We provide comprehensive advice in this regard so that all owners and creditors understand the implications of an insolvency procedure on the owner, the partners and the business.
Many licensed premises trade as partnerships and sole traders and we have a wealth of experience in this sector.
Sole traders / Proprietors
Because of the nature of sole traders and proprietors, the insolvency options are the same as individuals. However, because we understand that there are very different factors to consider for those running a business, we can explore whether it is possible to save the business through a Turnaround plan and provide bespoke advice for your situation.
We will also advise sole traders and proprietors on how any procedure will affect their non-business assets, such as the family home.
Partnerships
Sometimes partnerships can be straight forward, such as two equal partners running a small business. Other partnerships can be very complex, such as professional firms like accountants, solicitors and architects, which have many partners with varying equity stakes.
With any partnership, it is vitally important to ensure that all partners are aware of how a business failure will impact on their personal situation, and vice versa. Only then can the partners move forward with a cohesive plan to rescue the business and protect their personal positions.
The “quirky” way that partnerships are dealt with in insolvency means that there is a mixture of corporate and personal insolvency procedures available. Please contact us for specialist advice if you have a partnership facing financial difficulties.
Please contact us on the freephone number above to discuss your Sole Trader or Partnership situation.