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Company in loss but with high Capital & reserves

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Hi,

I have a small company but it is in losses due to theft, unpaid debts by debtors, sinisters (insurances refusining to pay).

These lasts amount have been icluded in the company assets and also in the company's Capital & reserves ( +£510000) while the company is in loss (-£31 000).

Also, as we were in loss of -£31 000, we didn't pay tax and unfortunately are not eligible for any government grant during this pandemic period.

As a result, in order to fund my company, I would like to know if there is any way I can sell a part of my company Capital & reserves as it is or in a form of tax credit, etc.

Cheers

Replies (25)

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By bettybobbymeggie
08th Feb 2021 17:36

lol

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By Youareatit
08th Feb 2021 17:41

Falcon wrote:

Hi,

I have a small company but it is in losses due to theft, unpaid debts by debtors, sinisters (insurances refusining to pay).

These lasts amount have been icluded in the company assets and also in the company's Capital & reserves ( +£510000) while the company is in loss (-£31 000).

Also, as we were in loss of -£31 000, we didn't pay tax and unfortunately are not eligible for any government grant during this pandemic period.

As a result, in order to fund my company, I would like to know if there is any way I can sell a part of my company Capital & reserves as it is or in a form of tax credit, etc.

Cheers

Above quoted given bettybobby replied within 30 mins.

What are sinisters?
What have you done to try to collect your debtors?
What was stolen? What have you done to try to get this back?
What has your Accountant said?

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Replying to Youareatit:
Hallerud at Easter
By DJKL
08th Feb 2021 17:51

The opposite of dexters.

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Replying to Youareatit:
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By Falcon
08th Feb 2021 18:17

While I was promoting my company' sevices, I have been assaulted by people (instructed by unlawful competitors after I sent invoices to these lasts), then my offenders tracked me (online and offline) doing identity theft and stolen my company design,intellectual properties, etc. and even tried lastly to change the name of the owner of the company with HMRC/Companies House (this is serious).

Since then I sent several invoices to this customers but they still refuse to pay until present...sending me governement agents to try to intimidate me : they took over this way two of my businesses during the last 5 years.

Laters I contacted the Parliamentary and Health Ombudsman, and I put their reference number as a note in the company tax return's notes explaining the source of the £500000 in the Capital & reserves.

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Hallerud at Easter
By DJKL
08th Feb 2021 17:50

You cannot really sell the credit side of the balance sheet to raise cash unless the company say issues extra shares to a third party in exchange for some funds injected, if relinquishing partial ownership is not where you want to go then this is likely not an option.

Take a look at the asset side of the balance sheet and see what you have in there that the company might sell. (Factoring debtors is often popular but it may have other things that could be sold without compromising the business operations, or maybe sell assets and lease them instead, generally both more expensive in the long run but short term may give you needed liquidity)

Step one, create a draft business plan.

Step two, have it reviewed and modified in consultation with an impartial third party like an accountant.

Step three, once the art of the possible determined execute the plan

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Replying to DJKL:
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By Falcon
08th Feb 2021 18:19

Please note that the figures I put in the forum are just as examples (I didn't want to scare any one...).

The Capital & reserves in the real HMRC tax return are several millions...and I do not exagerate...My problem is firstly to know if I won't be penalised twice (debtor not paying...and later HMRC asking me to pay for payment not received).

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Replying to DJKL:
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By Falcon
09th Feb 2021 00:12

I truthfully don't want to sell my company but as I need funds I have to consider selling some shares or assets...hoping it want take too long....

Mainly my company assets are presently intellectual properties such as 3D designs, etc.

I will try to draft the business plan in the next two days...

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Red Leader
By Red Leader
08th Feb 2021 18:14

Enter the Twilight Zone.

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Replying to Red Leader:
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By Falcon
08th Feb 2021 18:29

"Enter the Twilight Zone."
Instead I would say enter the entrepreneur Brexit zone.
I forgot to mention that since I'm french, in the worst case I would like to delocalise my company...Not to sell it for any reason, nor for any price.

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Replying to Falcon:
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By Paul Crowley
08th Feb 2021 19:12

In what country are government agents attempting to intimidate you?

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Replying to Paul Crowley:
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By bettybobbymeggie
08th Feb 2021 19:25

I vote Russia

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Replying to Paul Crowley:
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By Falcon
08th Feb 2021 20:24

Unfortunately, this happens right now in London-UK.
And they don't just try to intimidate me, they equally sabotage me on the daily basis in total impunity...Presently unlawfully they are remotely (I try to work online due to the lockdown) preventing me to have any income...expecting this way to force me to leave the UK...

I am not eligible for any grant/benefit from the government since my company/I didn't pay tax during the lasts three years due to the issues above. I had an injury for life due to the assault on me but I've been denied any help/compensation based on false statements of the officer who took my complaint and was responsible for the investigation.

Presently, after almost a year in national lockdown I don't have any saving while I still have to pay weekly the hostel where I presently live. I went to the hostel due to the fact these government agents were contacting/harassing my landlords/neighbors instructing them to unlawfully break the tenancy agreement...so I decided to stay in an hostel the time to find a solution to this serious issue. Some of these agents have even followed me inside the hostel where I am and in my dorm in order to continue to remotely sabotage : during the last two weeks, they hacked my trading accounts (in fact I think the contacted the brokerage firms for this purpose) making important sum...while I was trying to redirect my business to trading.

This is very serious. Ombudsman reference number available in pm on request.

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Replying to Paul Crowley:
Hallerud at Easter
By DJKL
08th Feb 2021 20:26

It's the McMafia, happens to anyone who tries to commercially use the deep fried Mars Bar recipe outwith Scotland.

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Replying to DJKL:
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By Paul Crowley
08th Feb 2021 23:20

I assumed Wales
But Scotland much more credible. I have seen what happens in airports there
Seriously scary

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Replying to DJKL:
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By Falcon
08th Feb 2021 23:55

For real, it happens in Central London, not far from Scotland...yard...

I'm in a serious and sensitive situation....Any advice is very welcome....

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By Youareatit
08th Feb 2021 21:39

Did you used to live in Derby?

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Replying to Youareatit:
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By Falcon
09th Feb 2021 00:10

I use to live in London...and apparently I made a mistake trying to come in the entertainment industry with an innovative idea...which was not known at that time (2014) : events promotion using data science and social media...but this was without knowing/realising that there is not so much fun in the entertainment industry but instead plenty of criminals ...

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Melchett
By thestudyman
09th Feb 2021 00:27

I recall reading a similar thread on UK Business Forums a while back - similar posting style. To the OP - I think you need to seek professional help.

Edit: https://www.ukbusinessforums.co.uk/threads/ltd-hudge-losses-due-to-clien...

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Replying to thestudyman:
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By Falcon
09th Feb 2021 05:37

Certainly me...except further sabotages happened in total impunity since that time...in London-United Kingdom, in 2021...

During all this time I faced several physical assaults and even attempts of murders.
The "professional" don't want (including lawyers) to get involved. Yourself you can the hypocrisy used on ukbusinessforums.co.uk in order to illegitimately close the thread...so imagine offline...

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By Paul Crowley
09th Feb 2021 00:36

I think endex having read Studyman

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By SXGuy
09th Feb 2021 09:21

Read your thread on the other website. Your either very poor at English or your story just doesn't make any sense.

From what I gather, you put 60k in to a business, promising potential clients of a result, that result never happend, you billed them for 700k and they refused to pay.

You then generated a loss on those unpaid debts in your accounts, and now you want someone to pay it back for you.

You seem to avoid answering any meaningful questions that would get to the bottom of the issue, while continuing to state you've been assaulted and everyone is corrupt.

Why was you not paid before providing services? No answer

What service did you provide that wasn't paid for? No answer.

What was the reason for not paying your services? No answer.

Just sounds like sour grapes to me.

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Replying to SXGuy:
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By bettybobbymeggie
09th Feb 2021 09:41

SXGuy wrote:
Your either very poor at English...

Pot, kettle...

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By I'msorryIhaven'taclue
09th Feb 2021 11:13

Falcon, your posts remind me of a conversation Mrs I'msorry had when she dropped off her father for respite care at a nearby old folks' home. She arrived at a busy time - the tail end of Sunday lunch - and one largish resident was clinging to the architrave of the dining room entrance refusing to budge; another had taken advantage of the diversion by wandering off unsupervised, thereby instigating a search. All of which rumpus contrived to keep the staff fully occupied.

Nevertheless a well-dresssed man sporting a bow-tie broke away from supervising the three carers' efforts to prise the large resident's fingers from the architrave, and introduced himself as the manager. Having welcomed her and offered his platitudes over the mayhem, they got down to business in the foyer nearby. He'd organise us a cup of tea as soon as his staff found the missing OAP; and yes, he supposed he could also organise a sandwich for her father provided cook hadn't left yet, but he really did wish people would inform him of such things in advance; his staff had no right to make such promises! And he was very sorry, but there'd be an extra charge for it. There followed a protracted conversation regarding potential sandwich fillings.

Bored with listening I wandered off alone and, with no carer staff about, happened upon the kitchen. Cook broke away from her washing up and, upon hearing my tale, chuckled aloud and very kindly made a sandwich. "By the way," she confided as I left, "Your wife is talking to Old Harry, one of our residents. He used to run a pub, and the poor old chap believes he's the manager here." And when I returned to the foyer there they still were, Old Harry and Mrs I'msorry, negotiating crisp-flavour preferences.

I'm getting a Déjà vu feeling watching the forum and the Falcon.

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Replying to I'msorryIhaven'taclue:
Hallerud at Easter
By DJKL
09th Feb 2021 13:12

Another x years and I may be Old DJKL pretending to be a member of the management/accounts team at whatever place the kids decide is best for me.

However now son is making the US his home, and I believe likely intends to become a US citizen, he can maybe ship us over there on the parent visa scheme, as all dramas/ films I have seen seem to indicate that being elderly in the US is far more fun than here in the UK. (Think Cocoon, Donald Trump, Joe Biden etc)

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Replying to DJKL:
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By I'msorryIhaven'taclue
09th Feb 2021 13:34

You think maybe Donald and Joe have something in their pools?

But steady on - I reckon being elderly in the States would be alright only until such time as you need to sell your home to pay for your hip replacement. Can't be much fun having to drive to Mexico for a filling, either.

My advice is don't on any account take your bagpipes. Otherwise somebody might shoot you!

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