How to apply for breathing space to consider a rescue plan for your company, under measures to support companies and other types of business in financial difficulty.
If your business has or is really struggling, you can get “formal” breathing space to consider a rescue plan for your company.
A moratorium gives struggling businesses formal breathing space in which to explore rescue and restructuring options, free from creditor action.
Except in certain circumstances, no insolvency proceedings can be instigated against the company during the moratorium period. It also prevents legal action being taken against a company without permission from the court - with the exception of employment tribunal proceedings, or proceedings between an employer and a worker, which do not require permission of the court to commence or continue.
Directors remain in control of the company and will still need to meet their filing obligations with Companies House. Late filing penalties will still be applied where accounts are filed late.
