Business accounts

[ellie 553]

Yes it would ! Main reason is you need to be able to access the money. If it keeps on going into your stopped lloyds account then you may not be able to use it to make your IVA payments.
I have found lloyds very helpful to talk to and I am sure they would be sympathetic to the payment holiday - our IP did say it is worth asking them about the bank account even if they are one of your creditors, as they may agree to stop loan payments going out and still let you use the account.
I haven't asked as our circumstances have changed but it has to be worth a go

[MelanieGiles]

Oh that must be a lovely job to have - surrounded by beautiful things. I dealt with a gift shop in Northern Ireland a couple of years ago, in circumstances very similar to your own, and would have ended up buying the business had I been allowed to! Or at least half of the stock!

Why not ask your accountant to draw up some trading projections to show your anticipated future profits, and also the money you would need to set aside for taxes, work out how much your general household and personal expenses are each month (without taking account of any debt repayments) and seeing how much might be left to make ongoing payments to your creditors.

[littleted]

I have a lovely shop in a lovely part of the country and am getting life back after leaving my husband. I feel now is the time to make right decisions and get back on track. Thanks for all of your replies, it does help to know there is hope

[ellie 553]

Littleted - I am in a similar situation although our business is almost sold now..we are in a seasonal area too and I have just split with my partner. You've done really well to go for ten years and you will find a solution to your situation if you get as much advice as possible and then make your decision.
Dealing with suppliers is the hardest part for me but even they have experience of other businesses struggling and have been mostly sympathetic. Lots of businesses are struggling in this part of the world and you are doing well to be up for January - let us know how you get on !

[littleted]

Thank you Ellie, It is so good to talk to people who know what I'm going through, and I will post to let you know if, and how I manage the situation. I've always been a resourceful girl with strong spirit but I must admit this is crushing- especially as you say dealing with suppliers i've had for years is hard.

[MelanieGiles]

I am sure that your chosen suppliers would much rather support a stuggling business out of difficulties than see it fail. After all this gives them the opportunity to minimise their loss by generating future profits from your ongoing business.

[ianmillington]

Hi

Following our discussions previously I have noted the action you are now taking which, in my view, is the only realistic thing you can do. In the previous thread I got the impression that your accountant was against the idea - has he now got on board? I sincerely hope so because I cannot agree more with Melanie on the importance of proper projections.

All of the points made by earlier posters are very valid as well. However, because an IVA for a trader is considerably more complex than that of an employee there are different facets to it and the risks of something going wrong are higher and, dare I say it, more serious. It is absolutely vital that you and the IP develop a mutual understanding and the IP in particular gains an understanding of your business. For this reason our professional bodies require that either we IPs or a senior member of our staff meet with all our self employed clients. Without it your proposal is likely to be defective. Melanie did make the point earlier but I can't see that you have said whether any meeting has been arranged or made.

Ian

[littleted]

Hi Ian
Yes my accountant is on board and willing to help this course of action suceed, he took a 'backseat' as he felt I needed more specialist help than he could offer.
I have only just sent paperwork back to clearstart and am waiting to hear from them of the next step, although I am slightly concerned as they are a big company and as suggested this case needs to be handled with a great deal of expertise and care.

[MelanieGiles]

Clearstart will probably refer you to another company as they do not do self-employed cases in house. I have heard that the other company are not holding face to face meetings with their self-employed clients - so if this happens to you please be wary.

[littleted]

Hi Melanie
On the phone I was told that I would be required to travel for a face to face, I shall wait and see how things transpire. Out of interest, do you deal with self employed cases?

[ianmillington]

Because of the nature of your business, i.e you have formal business premises rather than simply being a self-emp0loyed person who works from home, there is likely to be significant benefit from the IP visiting you, rather than the other way around. That may make it desirable for you to instruct an IP who is local to you. As a potential added benefit, he or she may have some clout with one or more of the local banks who might then be able to help you, given that you need rather more than a basic bank account.

I'm sure Melanie and I will agree on this point:- because of the nature of your business you need a somewhat more holistic approach than simply bashing out a proposal.

Ian

[MelanieGiles]

Hi Littleted

Yes my firm specialises in self-employed cases.

[littleted]

Ian
The clouds have lifted, you are right. I have a unique seasonal business which someone lets say based up in Nottingham may not quite see the full picture. My accountant has recommended a firm down here that he knows, so all my accounts are easily available, I can have face to face meetings and as you say the IP may have some local influence. The reason I went for clearstart in the first place was a mis guided idea on cost. This firm charge £150+vat per meeting, I do not know terms and conditions yet, but am I a fool for thinking that I wouldn't be paying for the IP at clearstart- of course I would, just in a different way. At least this way the cost is easy to see.

[ianmillington]

The same would apply to one in Didsbury too[:)]

Good luck with it. I'm a little disappointed that the IP won't give you a free meeting, and I can only suggest that you make sure that any other costs such as the nominees fee will only be payable in the event the proposal is approved - as you are paying for the initial advisory meeting I think that is only reasonable.

Ian

[littleted]

The first meeting is free so as he can gather enough info.
Thanks for the advice. This is such a big thing to go through and I didn't want to get it wrong, and I feel I could have been on the wrong path with that particular company.