Winding Up On The Rise – Practical Issues To Be Considered

As businesses brace for challenges in 2025, rising costs and an increase in winding-up petitions highlight the issues surrounding unpaid debts. Creditors need to exercise caution, while debtors should promptly communicate any disputes.

As business gets back to work, the outlook for 2025 looks challenging. Early indications are that the festive season has not been as merry as many sectors would have hoped. Higher national insurance costs and the rise in the national minimum wage which will come into effect in April 2025 both signal significant increased costs for employers and concerns about whether and to what extent those costs can be passed on to customers.

A key resolution on the new year to-do list for most owner-managers will be reviewing cash flows and ensuring that there is sufficient liquidity so that debts can be paid when they fall due. An important factor in that analysis will be assessing whether enough is being done to secure prompt payment of