- 30 Jan
Pulse On Protecting Against Carillion Bad Debts
I had an email from Pulse Cashflow Finance, one of our funding panel, that I thought raised a great point about the recent failure of Carillion. Their clients will not be suffering any bad debts.
They have included "bad debt protection" for all of their clients, including those operating within the construction sector, meaning that their clients are protected from taking a bad debt.
OK, so it was Carillion this time, but next time it could any other large construction sector company that you are dealing with - if you would like to find out how they can help your business with both cash flow and protection from customer failures, please request a call back from Pulse Cashflow Finance.
This was the email that they sent, and kindly agreed that I could publish:
"Why Pulse Cashflow clients affected by Carillion’s demise will not suffer any losses
When Carillion the multinational facilities management and construction services company announced it was to go into liquidation, threatening thousands of jobs, the ripple effect spread far and wide across the UK business sector.
With business interests in so many diverse industries from major public-sector construction projects to managing schools and prisons as well as maintaining rail networks the damage that their estimated £800m of debts could cause to business and the UK economy is hugely concerning.
For it is not just Carillion and their employees who will bear the brunt of this company failure, it will be the thousands of SMEs and their staff who either supply or buy services from Carillion that will find themselves at risk of damage by this high-profile failure.
Despite this, Pulse Cashflow are pleased that they have been able to reassure their clients who are directly affected by Carillion’s demise that they will not suffer any financial impact to their businesses. This is because they will benefit from the inclusive bad debt protection Pulse Cashflow offer with their finance solutions. For those clients using Pulse’s funding solutions, monies owed to them by either Carillion or other businesses across Carillion’s wider supply chain will be recovered through Pulse’s bad debt protection. Pulse Cashflow have also committed to supporting any of their clients who may be affected by the fallout throughout Carillion’s supply chain.
Toni Dare, managing director of Pulse Cashflow says: “There are thousands of small firms the length and breadth of the country, in almost every industry, that carry out work on Carillion's behalf - many with real concerns about whether they will be now get paid and if they don’t what damage that is going to do to their businesses. Pulse Cashflow are committed to supporting businesses through good times as well as bad and will continue to work hard to support any business feeling the full force of Carillion’s demise. We are pleased that our clients have benefitted from our facilities being fully inclusive of Bad Debt Protection to safeguard their businesses in situations like this.”
- 06 Dec
Hospitality And Construction Sectors Top The Insolvency Index
Looking at some figures in Business Money, published from the Creditsafe Insolvency Index, it appears that the hospitality sector (hospitality, hotels, restaurants and bars) tops the insolvency index, followed by the construction sector and then manufacturing. Worrying if you supply those trades with goods or services.Figures from the Office For National Statistics suggest that generally, the...
- 30 Jul
The Risk Of Customer Bad Debts Is Rising
The risk of customer bad debts is rising as there has been an increase in both corporate and personal insolvencies. It is time to protect your business against the risk from customers taking trade credit. Protection against taking customer bad debts is still on offer at present.REQUEST DETAILS OF BAD DEBT PROTECTIONAn article in The Times dated 28th July 2018 reported that personal insolvencies...
- 24 Apr
Factoring For Road Transport Company Cash Flow Problems As Bad Debts Increase
Coincidently, just after posting my article about transportation factoring companies, I saw an article published online by the Motor Transport publication, suggesting that bad debts have risen significantly within the road transport sector.The article sites figures regarding the road transport sector, released by Credit Safe. This statistics show that in the first quarter of 2018, while sales...
- 23 Apr
Retailageddon - Why Are So Many High Profile Companies In Financial Trouble?
Can anyone explain why so many high profile companies are having financial problems? Is there cause to worry about economic stability?I first started really paying attention to the spate of emerging problems when Carillion collapsed, the second largest UK construction firm. Watching some of the social media commentators that have an interest in the credit insurance sector. Since then there seem...
- 26 Mar
Protection For Suppliers To UK Retail Chains
If you are a supplier to any of the large retail chains, you may wish to review your requirement for bad protection following a number of recent news reports from the retail sector.More problems have emerged from the sector as the BBC report that Prezzo, the Italian restaurant chain plan to close approximately a third of their retail outlets, as part of a creditors voluntary arrangement...
- 28 Feb
Maplin Electronics & Toys R Us Enter Administration
Two more large company failures on the BBC news this morning - both Maplin Electronics and Toys R Us have entered Administration.Administration is an insolvency process whereby a firm of insolvency practitioners, the Administrators, take over the running of an insolvent business (one that cannot pay its creditors as they fall due), in order to maximise the returns for creditors of the business....