June 2021: As many businesses face the financial impact of four more weeks before pandemic restrictions lift, small business owners who have become personal guarantors for CBILS loans over £250,000 are being warned that lenders will come to them first, if they default on the loan – not the Government.
Small Businesses Face CBILS Shock as Lenders Come Calling
Topics: #personalguarantee, #Directors, #CBILS
No company director wants to have to face up to the prospect of their business becoming insolvent. But directors have a duty to act in a certain way, in accordance with the relevant legislation, should their company find itself in a position where it can no longer pay its debts.
Topics: #personalguarantee, #personalguaranteeinsurance, #Directors, Insurance
As bad debt burden worsens for businesses, Purbeck offers SME survival tips
In response to rising business insolvencies and trade credit insurance payouts at their highest since 2009 - Purbeck offers SME survival tips.
Topics: #personalguarantee, #Directors, #SMEs
A no-deal Brexit - Time to consider Personal Guarantee Insurance
UK Finance, the banking industry trade body, has held discussions with leading business group to discuss the provision of emergency Brexit advice to small and medium sized businesses. Part of their mission is to reassure the SME community that banks will retain the capacity to lend and not tighten the availability of credit. They also plan to outline alternative finance options available to SMEs.
Topics: #personalguarantee, #personalguaranteeinsurance, #Directors, #SMEs
Purbeck Insurance partners with FSB Insurance Service
Topics: #personalguarantee, #personalguaranteeinsurance, #Directors, #SMEs
65% of large firms take 30 days or more to pay small businesses
It’s often the case of David v Goliath for many small businesses when it comes to dealing with large firms and their supplier payment cycles.
Topics: #personalguarantee, #personalguaranteeinsurance, #Directors, #SMEs
Personal Guarantee Insurance - more than just insurance
Topics: #personalguarantee, #Directors, #SMEs
Key to credit scoring: Unlock the rate you want V rate you settle for
It seems the world of finance has developed into a “computer says no” environment, both in a personal and commercial capacity, where old school underwriting and case-by-case common sense approach has been replaced by algorithms, referencing and an increasing dependence on other fintech tools to assist a decision.
Topics: #personalguarantee, #Directors, #SMEs
What every spouse or partner needs to know about personal guarantees
You co-signed a personal guarantee for your spouses business loan and now you’re faced with losing everything you own and bankruptcy. How did you get to this point and was there any way you could have prevented it from happening?
Topics: #personalguarantee, #Directors, #SMEs
Should personal guarantees be recorded on personal financial statements?
International accounting standards suggest that business accounts should record guarantees based on the following conditions:
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Guarantees are treated as provisions if a call is likely (typically numerous similar guarantees treated as a group)
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Guarantees are treated as a contingent liability and not recorded in main accounts if a call is not likely (typically one-off guarantees)
But what about personal financial statements?
Topics: #personalguarantee, #Directors, #SMEs
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