Entries by limelightcom

Wrongful Trading Advice

Section 214 of the Insolvency Act 1986 (“the Act”) defines wrongful trading as when the directors of a company continue to trade past the point where they knew, or ought to have concluded that there was no reasonable prospect that the company would avoid going into insolvent liquidation.

This action is available to the liquidator of the company against not only directors who are registered at Companies House, but also de facto and shadow directors.

The key step for a liquidator is establishing the date at which it can be shown that the directors continued …

Brexit – a third of UK Businesses risk insolvency

Many businesses in the UK face considerable financial difficulty as the uncertainty of ongoing trade with Europe continues. The value of the sterling, rising inflation and prolonged Brexit negotiations are all having a negative effect in many sectors.

Some organisations that trade with Europe have reached crisis point due to the inevitability of reduced trade under these circumstances and increased associated costs. According to the insolvency and restructuring body R3, a third of all companies are susceptible to insolvency up from around a quarter at the start of 2017 …

Employee Benefit Trusts – The net tightens!

Employee Benefit Trusts (“EBT’S”) had become more prevalent over the last 10 – 15 years or so and were most heavily marketed to companies between around 2007 and 2014 as a means to reward employees in a tax efficient manner.

Typically companies would pay monies into a trust which could then be loaned to the employee on favourable terms without PAYE and NIC charges.

The schemes, which had to be notified to HMRC under their own disclosure rules were compliant with legislation and advice …

Website Launch

We have just launched our new website. The website was designed by Limelight Marketing Communications Ltd – www.limelight.co.uk We would like to say a big thank you to the team there who were very helpful and creative while designing the site.