26-07-2007
Surviving the flood
Gloucestershire businesses are being advised to face up to the financial reality of the county's flood aftermath in order protect their business going forward.
As the waters recede the pressure on local businesses will undoubtedly increase as local companies count the cost of the floods – in terms of flood damage, lost stock and lost trade.
"The key is to act quickly," said Andrew Taylor, head of BPE's corporate recovery and insolvency team.
"Businesses that recognise and react quickly to financial problems, rather than sticking their heads in the sand, are the ones most likely to be able to put in place viable measures going forward. Nobody likes talking about financial difficulties but facing up to the reality of the situation is the first step to recovery.
"In our experience banks are very sympathetic with customers in crisis situations such as this. Use the help and support of your local professional advisers to put together an action plan for getting your business back on its feet as quickly as possible.
There are a number of options to avoid formal insolvency from cash flow management, refinancing to more formal restructuring, that mean proactive businesses can survive this time of hardship,” he added.
In terms of ensuring insurance claims are dealt with effectively Mark Elder, an Associate in BPE's dispute resolution team, who has significant experience in working closely with other specialists to quantify losses in this regard, said: "Although it may be the last thing on business owners' minds at the moment they should make every effort to keep good records where the costs of management or staff time is likely to form part of any future insurance claim."
As the waters recede the pressure on local businesses will undoubtedly increase as local companies count the cost of the floods – in terms of flood damage, lost stock and lost trade.
"The key is to act quickly," said Andrew Taylor, head of BPE's corporate recovery and insolvency team.
"Businesses that recognise and react quickly to financial problems, rather than sticking their heads in the sand, are the ones most likely to be able to put in place viable measures going forward. Nobody likes talking about financial difficulties but facing up to the reality of the situation is the first step to recovery.
"In our experience banks are very sympathetic with customers in crisis situations such as this. Use the help and support of your local professional advisers to put together an action plan for getting your business back on its feet as quickly as possible.
There are a number of options to avoid formal insolvency from cash flow management, refinancing to more formal restructuring, that mean proactive businesses can survive this time of hardship,” he added.
In terms of ensuring insurance claims are dealt with effectively Mark Elder, an Associate in BPE's dispute resolution team, who has significant experience in working closely with other specialists to quantify losses in this regard, said: "Although it may be the last thing on business owners' minds at the moment they should make every effort to keep good records where the costs of management or staff time is likely to form part of any future insurance claim."
