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What tax relief can be claimed on bad debts?
Write-off bad debt and claim bad debt relief to avoid paying tax on income that you have not received. Most businesses will eventually encounter a non-paying customer, especially during today’s difficult economic climate. Bad debts can be very damaging to businesses of all shapes and sizes, so it’s important to minimise your losses by claiming…
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How to charge interest on late payments
Charging interest on late payments is an effective way of protecting your business’ cashflow. UK businesses of all shapes and sizes are suffering due to the country’s late payment culture. 80% of small businesses are paid late, and on average, SMEs are owed £6,142in late payments at any one time. Being paid late can have…
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Funeral debt rises as funeral costs continue to soar
Funeral debt rises as the average cost of a funeral in the UK continues to increase. According to SunLife Insurance, the cost of funerals has risen every year for the last 14 years, equating to a 122% increase since 2004. In 2019, the average cost of a funeral in the UK stands at £4,271, and…
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Consumers vulnerable to aggressive debt collection if their energy supplier goes bust
Customers who owe money to energy suppliers are left vulnerable to aggressive debt collection companies if their supplier goes bust. Since January 2018, 11 energy suppliers have collapsed, including Gen4U, One Select, Future Energy, Spark Energy, Brilliant Energy and National Gas and Power. This has left at least 32,000 customers in debt and at risk…
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How is the government tackling the UK’s late payment culture?
The government are introducing new policies to tackle the UK’s late payment culture which contributes to thousands of SMEs going out of business each year. Shocking information releasedby Bacs Payment Scheme Ltd shows that small UK businesses are facing a bill of £6.7 billion (an average of £9,000 per business) just to collect late payments…
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Rent arrears prevention tips for landlords
Landlords should protect their cashflow by putting processes in place to reduce the risk of tenants falling into rent arrears. When a tenant misses a rent payment or pays late, it can cause serious financial problems for their landlord. Late payments have a negative impact on landlords’ cash flow, which can cause problems with paying…
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3 steps to determining a customer’s creditworthiness
If you supply customers with a product or service, then offering a credit facility is a great selling point, but it doesn’t come without its risks. Whilst it is impossible to completely safeguard yourself from non-paying customers, it pays to have a system in place for checking a company’s credentials before you commit to working…