Worried about business debts, do you know you may be able to place them on hold for seven months
Relief is possible for companies struggling to mange their debts while recovering from the impacts of COVID-19.
The COVID-19 Business Debt Hibernation scheme allows businesses to place their existing debts on hold for up to seven months to help them start trading normally again, rather than than being placed into the likes of liquidation.
While a business is in Business Debt Hibernation it can continue to trade, subject to any restrictions agreed with creditors, and at least half of the business’s creditors must agree to the arrangement the business proposes.
If you are not confident approaching your creditors, which is understandable, or just want to discuss the scheme with somebody who understands how it work and if it can apply to your business, then talk to your accountant or reach out to one of the business Coaches or advisors listed on the BSN offered help directory, most are offering local Kapiti and Horowhenua businesses FREE initial consultations.
You can search the directory here: https://www.bsn.nz/helpoffereddirectory
More information on the scheme is available from the companies office here