In certain circumstances, the threat of a winding up petition being presented is a powerful means of swiftly securing payment of a debt. We advise corporate and sole trader clients regularly on the most appropriate remedy to recover their debts. Such clients have ever-increasing demands placed on their own cashflow.
The service of statutory demands or formal written demands (as an alternative to a conventional court action) can bring in much needed cash. These demands establish apparent insolvency on the part of the debtor company enabling winding up proceedings to be initiated if payment is not forthcoming.
Contact
Grant Hunter
Partner, Glasgow