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If your business is in financial difficulty and may be insolvent you should seek specialist legal advice at the earliest possible opportunity. If the business subsequently enters a formal insolvency procedure and you have continued to trade whilst it was insolvent there is a high risk of an insolvency practitioner seeking to recover loss incurred in that period from directors personally.
Trading while insolvent can breach several provisions of the Insolvency Act 1986 which could result in directors disqualification proceedings.
As a company director it is your duty to act responsibly and act in the best interests of the company.
For more information of the duties of a director please click the following link: Directors' duties
If you would like to speak to a member of our insolvency law team to discuss your situation please call us on 0203 816 9303, alternatively please complete our online enquiry form and we will contact you directly.
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As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.
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As an award-winning top 150 law firm, with over 450 staff based in offices across the country, you're never far from the advice you need.
