Advice

Financial distress is a stressful situation, and tax liabilities can add another layer of worry. However, at DMC Recovery, we understand there are steps you can take to manage your tax burden during difficult times. Here are some key tips to help you navigate tax liabilities in financial distress: Prioritise Transparency and Communication: Contact HMRC Early: Ignoring your tax liabilities will only make things worse. Contact HMRC as soon as possible and explain your financial situation. They are more likely to be understanding and work with you if you're upfront and proactive. Seek Professional Advice: Consulting an Insolvency Practitioner or [...]

We understand. Insolvency practitioners often get called in when things seem dire, like the financial Grim Reaper hovering at the door. But here's the secret most business owners don't realise: we're not just about closures and liquidation. In fact, our expertise can be your lifeline, helping you restructure, explore rescue options, and navigate a path back to stability. So, how do you know when it's time to pick up the phone? Here are some red flags that shouldn't be ignored: Mounting Debts: Are your bills piling up faster than you can pay them? Are creditors chasing you down? This is [...]

At DMC Recovery, we frequently handle cases involving directors' loan accounts and unlawful dividends. Let's delve into what these claims entail and how they're addressed in practice. Directors’ Responsibilities Directors are bound by duties outlined in the Companies Act 2006. They must act in good faith and prioritise the company's success. In cases of solvency, their duty lies with shareholders; in insolvency, creditors take precedence. As fiduciaries, directors manage the company's funds, akin to trustees, with obligations such as good faith and avoiding conflicts of interest. Directors’ Loan Accounts Overdrawn directors' loan accounts represent debts owed by directors to the [...]