Latest insolvency figures- business news 17 August 2020.
17 August 2020.
James Salmon, Operations Director.
What we learn from the latest insolvency figures, whats happening with consumer credit, jobs, the self employed, the latest predictions on the recovery, the housing market, the economy, covid-19 and lots of other business news.
Here are CPA we want to share the business news stories we have seen that we think will affect our members and readers. Many of us are busy fighting to protect our businesses and therefore might have missed some of the news that could impact small businesses, their owners and those that sell on credit.
Government support keeps insolvencies low
Corporate insolvencies fell by a third last month compared with the previous year, with taxpayer-funded support helping support businesses put under pressure by the coronavirus crisis.
However they were up 29% month on month.
Figures show there were 955 company insolvencies in England and Wales in July, a 34% dip on the total reported in July 2019, with the Insolvency Service noting the impact of “enhanced government financial support for companies and individuals”, as well as reduced operations in courts and less enforcement activity by HMRC amid the pandemic.
Colin Haig, president of insolvency and restructuring trade body R3, said Treasury support “means we’re not much nearer to understanding how COVID-19 is truly affecting underlying corporate or individual distress”.
Analysis shows that of July’s insolvencies, 590 were voluntary liquidations, 166 were compulsory liquidations, 182 were administrations and 17 were company voluntary arrangements.
A month on month rise in the number of corporate insolvencies could indicate the impact of the pandemic is beginning to show, according to the insolvency and restructuring trade body R3.
The latest figures from the Insolvency Service reveal that the number of corporate insolvencies in England and Wales increased by 29% in July compared with June.
Allan Cadman, North West chair of R3 and a partner at Poppleton & Appleby, said: “Although overall insolvency numbers remain low in comparison to the same time last year, this uptick could suggest that the impact of the pandemic might now be starting to be seen in the insolvency figures.
The UK has entered a recession, consumer confidence is low, and a number of big name brands have recently announced they are exploring, or have entered, insolvency or restructuring procedures.
This suggests the business climate will be challenging in the foreseeable future – and will not be made any easier as the Government support packages begin to wind down.”
He added: “Our members are telling us that it may not be long before companies which would be viable under normal circumstances begin to seek support from an insolvency and restructuring professional, as a result of the impact of the pandemic.”
Mr Cadman said that while the number of personal insolvencies currently remains low, a wave of business failures could have a knock-on effect if people lose their jobs or take on liability for a business’s debts as part of an unsuccessful attempt to turn it around.
The months ahead will see real pressure on cash flow as a consequence of the working capital demands of re-opening, whilst at the same time servicing and repaying new bank facilities, repaying tax and creditor arrears and the costs of any required restructuring. Therefore 3rd quarter figures could show quite a deteriorating outlook.
Record borrowing decline on the cards
A report from EY Item Club suggests demand for consumer credit will fall by a record 15.9% and Britain’s unsecured debt pile is unlikely to recover to 2019 levels until 2022.
The report also suggests mortgage lending will grow just 2.6% this year, the slowest rise in half a decade.
Dan Cooper, UK head of banking at EY, said: “Even assuming the economy bounces back in the short term, we’re likely to see very weak growth in loans to home buyers and consumers for some time to come.”
Andrew Hagger, the founder of personal finance site Moneycomms, said: “The coronavirus crisis has made many people re-evaluate their spending and savings habits … It’s been a game changer to such an extent that consumer spending and borrowing habits will have changed permanently for some.”
Sarah Coles, a personal finance analyst at Hargreaves Lansdown, said borrowing would “eventually” return to pre-coronavirus levels, but the question was “how long it’s going to take.”
Pandemic set to cost 1 million jobs
With the latest Office for National Statistics figures showing that the number of workers on company payrolls has fallen by 730,000 since March, employment experts believe total coronavirus-related job losses will pass the 1 million mark by the start of September, with some commentators suggesting the milestone has already been surpassed.
Melissa Davies, chief economist at consultancy Redburn, said: “At this pace, the number of jobs lost could easily reach one million by September, and comfortably by the time the furlough scheme is wound up in October.” She went on to warn that losses were “unlikely to stop at one million”, calculating that if 30% of workers currently furloughed do not return to work, it equates to around 2.25m job losses.
Paul Dales of research firm Capital Economics believes the 1m mark has already been hit, suggesting “lags in the data mean it hasn’t been confirmed yet.” Kirsty Rogers of law firm DWF warns that the “true scale of the problem is masked by the job-retention scheme”, adding that unemployment numbers could reach record highs when the initiative is wound up.
Chancellor reopens self-employed supp
Self-employed workers can apply for a second emergency coronavirus grant worth up to £6,570 as of today.
Chancellor Rishi Sunak says the Government will cover up to 70% of trading profits over three months, with this lower than the 80% offered under the first self-employed income support scheme (SEISS).
The support is capped at £2,190 a month, meaning £6,750 is available over the three-month period, compared to £7,500 via the initial SEISS. To qualify for the scheme, applicants must earn at least half of their income through self-employment and their annual trading profits cannot exceed £50,000.
Small firms face £22k reopening bill
A report from Nucleus Commercial Finance suggests small business owners are spending an average of almost £22,000 to reopen following the coronavirus lockdown, with implementing new health and safety measures and reconfiguring office space the biggest costs. For medium-sized firms, investing in new technology and introducing contactless payment systems were the biggest issues. The study found that a fifth of SMEs have used savings to cover the costs of coming out of the economic shutdown. Chirag Shah, CEO of Nucleus Commercial Finance, said: “Those businesses that are able to reopen in some capacity now face significant costs to ensure they can operate safely.”
BoE economist sees signs of rapid recovery
Britain’s economy is on course for a rapid recovery from the coronavirus crisis, Bank of England chief economist Andy Haldane has predicted. Noting that strong consumer spending has already helped claw back as much as half of the losses seen in the wake of the pandemic, Mr Haldane says the economy is expected to expand by more than a fifth in the second half of the year. This, he adds, would be “by far the fastest rise” since quarterly records began. Saying that economic activity is rising “sooner than anyone expected”, he insists that the “foundations for an economic recovery – a rapid one – are already in place, hiding in plain sight.”
Economist in recovery warning
Holger Schmieding, chief London economist of Berenberg Bank, has warned that the economic impact of the coronavirus crisis could stretch to 2023, dampening hopes that a swift V-shaped recovery is on the cards. Mr Schmieding commented: “Our guess is that the UK will take until early 2023 to get back to where it was in terms of 2019 output.” He added that while Britain has one of the world’s best economies, it has made two big mistakes, Brexit and “getting the pandemic wrong”. He went on to say that the UK “has fallen into a deeper hole than Germany and America”. Shadow chancellor Anneliese Dodds commented: “The warning lights are flashing red on the UK economy.”
Government borrowing nears record
Figures from the Office for National Statistics are expected to show that Britain’s all-time annual record for borrowing is close to being broken due to the coronavirus pandemic. Data set to be published on Friday is likely to show that the Government borrowed £28.6bn to fund its operations during July, taking official borrowing for the current financial year up to £156.4bn. Howard Archer, chief economic adviser to the EY ITEM Club, comments: “The deterioration of public sector finances slowed a little recently and the economy did better in June but a lot of the Government support schemes are still running and are very expensive.”
Firms look to flexible working
The Mail on Sunday looked at the shift in working brought about by the coronavirus crisis and how a number of staff at some of Britain’s biggest companies may never return to full-time office work in the City of London.
It reveals that PwC is preparing for 50% to 60% of its staff to work flexibly on a permanent basis, meaning that around 13,000 of its 22,000-strong UK workforce could work from home some days, while others will be spent in its London offices or at one of its 18 regional hubs. Kevin Ellis, UK chairman of PwC, says: “I had never worked from home before the pandemic, but I can now see myself working from home one or two days a week in the future, which is a big change. I think that will be the same for most people.”
Meanwhile, KPMG’s head of people, Anna Purchas, says that an internal survey found that more than 70% of its staff “would appreciate having increased flexibility in their working arrangements” post-coronavirus. She notes that KPMG will have capacity for up to 60% of staff to return to the office for up to three days a week by the end of October.
Elsewhere, the Sunday Times’ Oliver Shah also looked at the impact of a move away from office-based work. He too cites Mr Ellis, noting that he has said: “Just because you can work from home it doesn’t necessarily mean you should – because of the wider economic impact.”
Small firms missing out on support grants
Analysis from the British Independent Retailers Association (Bira) shows that small businesses are missing out on millions of pounds of financial support, with £1.5bn of the £12bn allocated for emergency grants to cover coronavirus-related disruption still unclaimed from local authorities. Bira chief executive Andrew Goodacre says some firms may not realise they are eligible, while others may not have been contacted as their local council has outdated information. He has urged firms that have yet to make a claim to “step forward or risk losing out.”
Sales and prices surge following stamp duty cut
Bank of England data showing sales are up 20% and average asking prices have risen by £10,000 in the four weeks since Chancellor Rishi Sunak increased the threshold for the stamp duty levy. The Office for Budget Responsibility predicts that the stamp duty cut will lead to a 0.5% increase in property prices. Ms Lewis also looks at how economic uncertainty has prompted caution among mortgage lenders, with George Bull at RSM saying first-time buyers and second steppers may see difficulties in securing a mortgage, with furloughed workers and those in high-risk sectors reporting “extra
Sales climb to 10-year high
Figures from Rightmove show that the housing market has had its busiest month in more than 10 years in July. The property platform says the number of monthly sales agreed in Britain was up 38% on the same period last year and worth a total of more than £37bn, with more properties coming on to the market than in any month since 2008. The increase in market activity has been driven by pent-up demand following the market being shut down, as well as a cut in stamp duty and the possibility of working from home becoming more likely. Rightmove says the average asking price on a property in Britain is now £319,497. While asking prices have fallen by an average of 0.2%, this has been driven by a 2% drop in London. The capital has seen a 69% year-on-year increase in the number of homes coming onto the market.
Yorkshire leads on house price growth
Analysis from property website Home shows that amid the post-lockdown recovery in the property market, Yorkshire is leading the way with 8.1% year-on-year price growth. The North West of England is also performing well, with growth of 6.7%, while the Asking Price Index for August shows Scotland has seen growth of 6.6%. Asking prices in July were up for a third consecutive month in all English regions, Scotland and Wales. The lowest level of growth was seen in Greater London, where asking prices were up 0.5%, while the South East was just ahead at 0.6%.
Many UK companies delay investing worker pension contributions
FT analysis shows that a number of employers have not invested employees’ pension payments during the pandemic, with pension companies flagging a spike in missed payment deadlines.
Older generations set to foot COVID-19 bill
Experts believe the Chancellor will target older generations with tax rises on pensions and property wealth as he looks to rebalance the books to cover the UK’s coronavirus bill, said the Sunday Telegraph’s Harry Brennan. Neela Chauhan of UHY Hacker Young believes tax rises are inevitable due to the £322bn deficit, but suggests policymakers would be wary of making younger generations cover the cost, while Sean McCann of insurer NFU Mutual says “intergenerational fairness” would be at the forefront of Rishi Sunak’s agenda. Mr McCann says the Chancellor is more likely to target property wealth and pension savings than increase income tax.
Tax rethink to ease national debt?
Hunter Davies in the Sunday Times looked at measures that could be taken to boost Government finances following the hit to the coffers brought about by the coronavirus crisis. He suggests that income taxes could rise, with “every expert and his dog” saying such a move is on the cards. He also moots the possibility of reform of property tax and the introduction of a wealth tax. On the latter, he says: “The wealthy would run screaming all the way to the Cayman Islands. Accountants will love it.”
Retailers call for business rates rethink
Retailers have urged the Government to accelerate a business rates review, with the Retail Sector Council saying “progress on business rates will be essential to give businesses the certainty to make effective investment decisions” in the wake of the coronavirus pandemic.
Expert warns of customs chaos
Simon Sutcliffe, a partner at Blick Rothenberg, has warned that the customs regime put in place for the end of the Brexit transition period will mean thousands of UK businesses are blocked from exporting to Europe from 2021.
He says the Border Operating Model put forward by ministers and HMRC will exclude “huge numbers” of businesses as they will be “faced with full customs formalities from day one”.
Mr Sutcliffe says the model is “not what it seems and is contradictory, and thousands of companies who thought they could use it will not be able to,” adding that the “whole plan is a muddle.”
A spokesman for HMRC defended the plans, insisting officials are “streamlining and simplifying the authorisation procedures to make the process quicker and easier for traders and intermediaries.”
Covid-19 general news
Global cases top 21.6 million and deaths pass 775,000
The UK Government extended lockdown restrictions in regions of north-west England on Friday, saying there was no evidence that the coronavirus infection rates in the areas had fallen. The decision was taken following a two-week review of restrictions imposed on Leicester, Greater Manchester, parts of West Yorkshire and East Lancashire, which prevent people from different households meeting indoors.
Chancellor of the Exchequer Rishi Sunak is putting 2 million viable jobs in peril by ending his coronavirus jobs support program too early, risking an unnecessary unemployment crisis, according to the Institute for Public Policy Research who estimate that 3 million workers will still be relying on the plan when it ends in October, two-thirds of whom are in roles that would be sustainable if the help was extended into next year. Removing the support too soon would “cause long-lasting damage to the economy and to people’s lives,” the authors of the report said.
Italy and Spain told nightclubs to close again while Italy also made the wearing of masks wherever social distancing can’t be ensured during the day mandatory.
France’s public health agency warned that all of the country’s Covid-19 indicators are trending upward
New Zealand Prime Minister Jacinda Ardern decided to delay the country’s election by four weeks amid a renewed flare-up of covid-19.
Australia suffered its deadliest day since the start of the pandemic.
India’s fatalities topped 50,000
American retail sales rose in July for a third consecutive month by 1.2% but economists had predicted 1.9%. Markets around the world reacted negatively to the figures, which brought evidence that the country’s economic recovery was slowing down amid a rise in covid-19 infections and deaths.
Southeast Asia is facing a strain of the new coronavirus that the Philippines, which faces the region’s largest outbreak, is studying to see whether the mutation makes it more infectious. The strain has been found in many other countries and has become the predominant variant in Europe and the U.S., with the World Health Organization saying there’s no evidence the strain leads to a more severe disease.
Yo Sushi and Jigsaw look to CVAs
Restaurant chain Yo Sushi has announced plans to cut 250 jobs as part of a major restructuring that is being handled by Deloitte. The firm has confirmed that a CVA will see 19 of its 69 UK outlets close. CEO Richard Hodgson said the firm, “like the rest of the sector”, needs to take decisive action to adapt to the lasting changes brought about by the coronavirus pandemic. Meanwhile, fashion chain Jigsaw has proposed store closures and a switch to turnover-linked rent through a CVA
McCloud’s housing company at risk of insolvency
TV presenter Kevin McCloud’s flagship housing company may be at risk of being forced into insolvency. In an email to investors, Grand Designs host Mr McCloud said HAB Housing owed £1.2m to another firm in his property empire, HAB Land, and HAB Land’s liquidators at KPMG had attempted to call in the loan. “HAB Housing cannot pay and could yet be forced into a formal insolvency process,” McCloud wrote, noting that he had informed KPMG that HAB Housing was in no position to honour the debt and was open to negotiation.
Debenhams hires restructuring firm for potential liquidation
Debenhams’ owners have appointed restructuring specialist Hilco Capital to draw up plans for its potential liquidation. It is understood Hilco’s appointment is part of a “contingency plan” as bosses look to sell the 242-year-old department store chain. The retailer, which went into administration for the second time in a year in April, last week announced plans to cut a further 2,500 jobs, having confirmed 4,000 job cuts earlier this year. A spokesman for the department store said administrators from FRP Advisory have appointed advisors “to help them assess the full range of possible outcomes,” which include the current owners retaining the business, potential new joint venture arrangements or a sale to a third party.
Ashley eyes DW Sports
Mike Ashley’s Frasers Group has reportedly made a bid for the collapsed sports retailer and gym-operator DW Sports. Mr Ashley’s firm, formerly known as Sports Direct, is understood to have offered BDO more than £30m, with the Sunday Times saying administrators are believed to have been asking for about £20m. BDO said it had “received a number of serious and credible offers”.
HMRC boosts plea bargain revenue
HMRC has increased its revenue by 25% by agreeing out-of-court settlements with wealthy taxpayers, with the additional tax collected through bargain agreements hitting £119.4m in the 12 months to the end of March, up from £95.8m in the same period the year before. Plea bargain agreements see HMRC contact a taxpayer with the offer of a settlement when it suspects them of tax evasion, while a taxpayer who wants to come clean can apply to HMRC for a plea bargain through its contractual disclosure facility. Law firm Pinsent Masons, which collected the data, said such agreements have been popular with taxpayers as a way of “coming in from the cold” and avoiding much tougher sanctions from HMRC or the courts.
Greece offers tax perk for retirees
Considering the appeal of Greece and its response to the COVID-19 pandemic, Chris Blackhurst in the Independent on Saturday notes that it is introducing a 7% flat rate of income tax for retirees looking to relocate, with this applying to all sources of income, not just pensions. The rate will be offered to those who reside in Greece for more than six months in the year and while it bars people from taking a Greek job, remote workers do qualify.
Furlough fraud reports increase
Reports of furlough-related fraud have continued to rise and now number nearly 8,000, HMRC figures show. The latest data show that HMRC has been sent 7,791 reports of potential fraud linked to the Coronavirus Job Retention Scheme, marking an increase on the 6,749 reported on July 22. Whistleblowing charity Protect has highlighted a number of instances where companies appear to be deliberately flouting the rules. HMRC says it will target companies that have abused the system, with those who deliberately ignore or try to find a way around the rules potentially facing criminal charges.
Pension savers overcharged £627m in tax
Data from HMRC show that pension savers have been overcharged £627m in tax since pension freedoms commenced in 2015. The figures show that in Q2 pension savers were owed an average of £3,500. The analysis suggests that many savers overpay tax the first time they withdraw from their pension due to HMRC calculations which are conducted on a Month 1 Basis, which charges savers as though a lump sum withdrawal is the first of monthly withdrawals. Issues can also arise if a pension provider is unaware of a person’s tax code or details of any other income they have, with some defaulting to an emergency tax code, which is set at a higher rate.
Don’t let Covid-19 bust your business!
It will if your cash flow dries up, either sooner or later.
The Credit Protection Association (CPA) has been assisting thousands of UK businesses to get paid since 1914. We have seen many financial crises, this one will be particularly deadly for suppliers for sometime to come.
CPA eases cash from tardy debtors – Efficiently, Effectively, Economically and Ethically. Above all tactfully, because maintenance of goodwill is paramount.
To meet the needs of creditors in the current crisis, we have designed a “critical care” package especially tailored for the situation.
- The annual package costs start at very low rates
- A minimum performance warranty is provided
- Several complimentary services included
Clients instruct CPA on-line via their PC or phone, completely user-friendly. Your late paying customers are told to pay you direct (not to us).
A very recent report shows a 23% increase in the number of unpaid invoices since March 11th THIS YEAR – are you getting a build-up of late payers?
Right now, overdue accounts must be a concern and CPA has a great track record of encouraging slow-payers to pay their suppliers quickly.
It takes less than 17 minutes to see how you would benefit, do you have the time now?
No face-to-face meeting required – just call Peter Uwins, CPA’s National Sales Manager, on 020 8846 0000 (business hours) or email nsm@cpa.co.uk today.
When you see your money come in, you will be so glad you used CPA.
Do you sell on credit?
With pressures on the cash flow it is essential that you stay on top of the credit limits you grant customers and watch carefully for any late payments.
Those customers will look for the easiest option to boost their cash-flow. Don’t let it be you.
You can’t just assume your customers can and will pay you eventually, no matter how big their name is.
It is essential to have credit management systems in place to monitor and check your customers credit worthiness.
It is also best practice to use a trusted third party like CPA to make sure you are paid on time by customers, no matter how good a name they have.
About CPA
The Credit Protection Association can help!
Formed in 1914, CPA has been providing credit management services to SMEs for over 100 years.
At the Credit Protection Association, we provide first class credit information that can help you avoid being over extended to customers who are at risk. Our monitoring service can flag up warning signs long before the end, giving you the chance to adjust and reduce your exposure. We provide recommended credit limits and credit scores on a traffic light system and can help you set appropriate credit policies for your customers.
We regularly publish lists of the latest insolvencies but by then it is too late. Our credit reports however predict approximately 96% of company insolvencies long before they arrive.
Companies in trouble usually have very bad cash flow and they try to deal with it by delaying payment to their suppliers, increasing your exposure to them.
If you supply on credit, help us help you identify the risks.
Why use a third party collector?
As a third party collector, we can also get your payments prioritised over those who are not as hot on collections. When your customer receives a letter from the Credit Protection Association regarding their outstanding account, they are going to want to get that resolved as a priority. Our overdue account recovery service can get your unpaid invoices to the top of their “to do” list and get your invoice paid.
Over the years we have collected billions in overdue invoices for our customers.
Our debt recovery and credit management services give our members the financial freedom needed to grow and prosper, while our new Late Payment Compensation department could unlock hidden potential and offer the compensation needed to springboard your business to success.
You might be hesitant about contacting a debt collection agency. What are they going to be like?
Can they help your particular type of business?
There is no need for concern. CPA are courteous, helpful and very probably have had direct experience of working with your type of business.
Debt collection agencies are not all alike.
Success lies in both recovering money and keeping customers happy. The Credit Protection Association was founded in 1914 and has helped tens of thousands of UK businesses to collect outstanding payments and reduce the risk of incurring bad debt. We believe that creditors deserve to be paid for the work or goods they have supplied but we fully understand the need to maintain
the best possible relationship with customers!
At The Credit Protection Association, we provide solutions, advice and back-up in all areas relating to the supply of services or goods on account. Client-members receive everything they need from a single source to reduce debtor days and write-offs.
The Credit Protection Association has helped has assisted tens of thousands of UK businesses with their credit control requirements, since the First World War.
We are polite, firm and efficient when it comes to recovering outstanding debt.
“We have used CPA for a number of years now. The website is easy to navigate around with lots of helpful reports. The staff are always at hand and very friendly. CPA has helped us reduce our debt over the years and keep track of potential issues with our customers.”
~ CPA client in Buckinghamshire
“The service from CPA has proved to be everything that you said it would be. We have already seen a huge benefit. We have had a number of overdue accounts paid promptly and directly to us. It is also a huge weight off our mind to know that once we have passed an overdue payment over to you, you take care of everything whilst keeping us informed.
~ Credit Controller client in Warrington
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections
Ready to speak to an advisor?
For help or advice on credit management, entirely without obligation.
Call us today
0330 053 9263
CPA is passionate about late payment
The Credit Protection Association has been protecting smaller firms against poor payment practices for over 100 years.
We are extremely passionate about breaking the late payment culture that holds back the UK economy and threatens many SMEs with cash flow difficulties being the single biggest killer of Britain’s small businesses.
If you were regularly paid late we can help. Those former customers used you to boost their own cashflow, regularly paying you late.
As a result you had extra costs, you had the distraction of having to chase payment, you had opportunity costs because your capital was tied up in their late invoices.
Under little used legislation, you are entitled to compensation for those late payments.
Now you can boost your own cash-flow.
CPA can help unearth the those hidden treasures.
We have the technology to reveal the compensation you are due and we have the extensive experience and expertise to then turn those claims into cash.
Yes, CPA can help you boost your business cash-flow.
Don’t let your bankers control you, contact CPA today.
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections
Do you realise you could be sitting on a fortune?
Late payments often result in a cash flow crunch and leave SMEs in need of a cash injection.
If you sold B2B on credit then there may be a hidden source of capital you can call on.
If you fancy an bit of extra cash in your business, rather than jumping through hoops with your bank, you could look to uncover the resources from an unexpected source within your own business.
Not many are aware but there could be a hidden fortune within your business, sitting there, just waiting to be uncovered and released.
We can help you uncover the pile of gold, you didn’t even know you were sitting on.
If you trade with other businesses and were often paid late then you could be entitled to significant compensation.
Under little known and under-utilised legislation your business could be due huge amounts in compensation that you didn’t even know about.
Let’s be clear – this is not a way to weaken any customer relationships you value. It is one that identifies who’s been paying late and then recover the potentially significant sums in compensation using Late Payment Legislation from businesses where the relationship has already ended.
You can pick and choose who you want us to follow up – but once we’ve agreed which companies you’d like to pursue compensation from it’s a fast process and there’s no financial outlay to you whatsoever. My team at CPA put its expertise to work to recover the compensation due and fight late payment culture.
That compensation could provide the cash boost your business needed.
But don’t delay, that compensation evaporates if not claimed within six years of the late payment.
How can CPA help?
CPA has developed a unique technology to dig into your accounting records and discover the cash injection you are due by means of compensation. The software does all the hard work. Our software interacts over the cloud with over 300 different software packages, working directly with your accounts package, just so long as it’s stored on a computer.
We recognise that most companies do not have the resources to spend time on the identification and calculation of Late Payment Compensation. Our service can produce an Analyses within just a few days with (usually) less than 30 mins of co-operation from our clients. We work directly with over 300 accounting packages but can also work with bespoke accounts packages. Indeed, speed is essential as the oldest invoices may fall foul of the 6-year time limit.
Once the Sales Ledger Analyses is made available to clients, all that is required is that management decide which commercially sensitive ex-customers to remove from the list and return it to us.
CPA then uses its years of collection experience to explain and recover the Late Payment Compensation Claims. Clients do not handle any part of the recovery process as our team will take all communications from the companies against who the claims has been made. Often, it’s simply a case of explaining the legislation, sometimes we have to go all the way and enforce the legislation through the courts.
The result is that we are realising clients’ claims worth tens and sometimes hundreds of thousands of pounds which, of course, is pure net profit. You may also be among the recipients of “hundreds of thousands of pounds” should you elect to take advantage of our services.
We do the work, you receive the cash.
If you have supplied goods and services to businesses on credit and were regularly paid late then you could be due significant sums in late payment compensation.
We are talking to companies and unearthing claims in the hundreds of thousands from former business customers who paid them late. Large business customers who abused their power to inflict unfair and sometimes illegal payment practices.
We are helping business owners who are looking to boost the returns from their business before they retire. We are helping businesses who have lost major clients after years of loyal service to get properly compensated for systematic late payment. We are helping companies that were looking to close down, who looked insolvent and finding that cash injection they need to avoid insolvency.
Those former clients who regularly paid you late can finally be made to pay.
Ready to speak to an advisor?
For help or advice on credit management, entirely without obligation.
Call us today
0330 053 9263
The Credit Protection Association is a credit management company established in 1914. If you supply goods or services on credit then we can help you!
The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections
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The Credit Protection Association – Prompting Punctual Payments – Ethical, Effective, Efficient, Economical collections