Top tips for SMEs navigating insolvency law changes

Following the government’s recent changes to insolvency laws, business owners across the nation have been left unsure as to what it all means. 

What impact will this have on my business? What do I do in terms of next steps? Is there a hold on new legal actions for the next six months? What are the differences between the fully compliant safe harbour and the COVID-19 safe harbour?

First and foremost we must remember that we are all in this together. This is uncharted territory and businesses of all sizes need to be working together to ensure both ourselves and the economy make it out the other side as unscathed as possible. 

Unfortunately, it’s not uncommon for creditors to be approached by customers claiming that under the new legislation, they ‘have the government’s backing to not pay their bills’. 

Whilst there is a small amount of truth in this, there are a number of tools and actions that SMEs can take…