Advice on SOA

cycloneuk

I am unable to meet repayments due to a change in my financial circumstances. I run my own business but am only able to take min wage for 16 hours due to a drop in business which i don't see changing any time soon.

I have left the A & L loan amount blank, it will be around £4800 but am waiting for the exact amount to be sent to me. Most of these debts are money i have loaned myself and then loaned to the company.

I do have a property on the market since we are upsizing to a 3 bed house but will have around 15k at least left over to clear some debts with but could take awhile to sell.

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 371.2
Partners monthly income after tax....... 0
Benefits................................ 760.52
Other income............................ 0
Total monthly income.................... 1131.72

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 123
Electricity............................. 50
Gas..................................... 40
Oil..................................... 0
Water rates............................. 35
Telephone (land line)................... 8.99
Mobile phone............................ 20
TV Licence.............................. 12
Satellite/Cable TV...................... 23
Internet Services....................... 17.99
Groceries etc. ......................... 320
Clothing................................ 100
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 160
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0
Contents insurance...................... 0
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20
Haircuts................................ 5
Entertainment........................... 30
Holiday................................. 0
Emergency fund.......................... 20
School Dinners.......................... 9.25
Total monthly expenses.................. 994.23


Assets
Cash.................................... 0
House value (Gross)..................... 149000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 149000

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
HSBC Loan......................17155.....245.......0
HSBC Credit Card...............4097......100.......21.9
A & L Loan.....................0.........0.........8.4
Clode (Overclockers)...........843.95....42.35.....20.29
Total unsecured debts..........22095.95..387.35....-


Monthly Budget Summary
Total monthly income.................... 1,131.72
Expenses (including HP & secured debts). 994.23
Available for debt repayments........... 137.49
Monthly UNsecured debt repayments....... 387.35
Amount short for making debt repayments. -249.86

Personal Balance Sheet Summary
Total assets (things you own)........... 149,000
Total HP & Secured debt................. -0
Total Unsecured debt.................... -22,095.95
Net Assets.............................. 126,904.0

coldstreamalways

I can't work out what you pay for where you live, there is no rent or mortgage repayment??

It does all look pretty lean though, someone clever will be along shortly to give you some tips but for starters, your grocery bill could have £100 knocked off it for sure. Head over to old style!

Mimi_Arc_en_ciel

cycloneuk wrote: »

I am unable to meet repayments due to a change in my financial circumstances. I run my own business but am only able to take min wage for 16 hours due to a drop in business which i don't see changing any time soon.

I have left the A & L loan amount blank, it will be around £4800 but am waiting for the exact amount to be sent to me. Most of these debts are money i have loaned myself and then loaned to the company.

I do have a property on the market since we are upsizing to a 3 bed house but will have around 15k at least left over to clear some debts with but could take awhile to sell.

Statement of Affairs and Personal Balance Sheet

Household Information
Number of adults in household........... 2
Number of children in household......... 2
Number of cars owned.................... 0

Monthly Income Details
Monthly income after tax................ 371.2 Maybe take on a full time job?
Partners monthly income after tax....... 0 job?
Benefits................................ 760.52 Have you checked this is correct and up to day?
Other income............................ 0
Total monthly income.................... 1131.72

Monthly Expense Details
Mortgage................................ 0
Secured/HP loan repayments.............. 0
Rent.................................... 0
Management charge (leasehold property).. 0
Council tax............................. 123 Can this be paid over 12 months instead of 10?
Electricity............................. 50 Can you lower this? Correct deal etc? Turn lights etc off?
Gas..................................... 40 Again can you lower this? Summer's coming in - do you really need heating on etc?
Oil..................................... 0
Water rates............................. 35 This seems high ?
Telephone (land line)................... 8.99
Mobile phone............................ 20
TV Licence.............................. 12
Satellite/Cable TV...................... 23 This can be lowered / removed - Do you ACTUALLY watch all the channels?
Internet Services....................... 17.99
Groceries etc. ......................... 320 Ouch - Definitley can be lowered - Change brands / supermarket. Meal plan - waste nothing.
Clothing................................ 100 Hm - can be lowered slightly
Petrol/diesel........................... 0
Road tax................................ 0
Car Insurance........................... 0
Car maintenance (including MOT)......... 0
Car parking............................. 0
Other travel............................ 160 Whats this? Can you walk etc?
Childcare/nursery....................... 0
Other child related expenses............ 0
Medical (prescriptions, dentist etc).... 0
Pet insurance/vet bills................. 0
Buildings insurance..................... 0 None?
Contents insurance...................... 0 None?
Life assurance ......................... 0
Other insurance......................... 0
Presents (birthday, christmas etc)...... 20 Lower to £10
Haircuts................................ 5
Entertainment........................... 30 This can be lowered - plenty of free things to do
Holiday................................. 0
Emergency fund.......................... 20
School Dinners.......................... 9.25 Take pack lunch!
Total monthly expenses.................. 994.23


Assets
Cash.................................... 0
House value (Gross)..................... 149000
Shares and bonds........................ 0
Car(s).................................. 0
Other assets............................ 0
Total Assets............................ 149000

No Secured nor Hire Purchase Debts

Unsecured Debts
Description....................Debt......Monthly...APR
HSBC Loan......................17155.....245.......0
HSBC Credit Card...............4097......100.......21.9
A & L Loan.....................0.........0.........8.4
Clode (Overclockers)...........843.95....42.35.....20.29
Total unsecured debts..........22095.95..387.35....-


Monthly Budget Summary
Total monthly income.................... 1,131.72
Expenses (including HP & secured debts). 994.23
Available for debt repayments........... 137.49
Monthly UNsecured debt repayments....... 387.35
Amount short for making debt repayments. -249.86

Personal Balance Sheet Summary
Total assets (things you own)........... 149,000
Total HP & Secured debt................. -0
Total Unsecured debt.................... -22,095.95
Net Assets.............................. 126,904.0

Your shopping bill is ridiculous and eats into a lot of your budget - small changes can mean plentiful savings. Do you shop online? Use cash back?

Rest of my comments are in red - hth x

tbourner

What's the £20 emergency fund for? Is it a savings account?

MyLastFiver

To look at the big picture for a moment, if I have it right then you have been taking out personal loans to inject cash into your business. It doesn't look like you are going to be seeing this money again for a long time, if ever. Factoring this in, it appears that your business is costing you far more money than it is paying you, which is the opposite of how a successful business is supposed to work!

Taking this into account, would it be worth looking again at whether your current business is the best way to provide you with an income, and whether you can be doing something else?

MyLastFiver

On your SOA, I agree with others that you can cut your groceries bill significantly. To give you an idea, we are two adults and one toddler. Our monthly groceries bill comes to approx £160, and that includes nappies, formula milk etc. We eat no processed meals, buy plenty of fresh fruit and veg, organic stuff for the baby, fresh fish on a friday and a joint of local meat on a sunday. I expect you can save £100ish a month by looking again at this. Also satellite telly - bye bye Sky.

I'm guessing but is the "other travel" business travel? If so it needs to be on your company accounts, not your personal SOA.

Also - if you upsizing to a bigger house, does this mean you will have a mortgage? If so, best if you put this on your SOA.

cycloneuk

The 160 month a month travel is for weekly bus tickets for us all, we live in a small village so definatly need them to get to town. There is no rent, i own the property outright. We are on a water meter and do 2 loads of washing a day, shower and don't really use a lot to be honest. Gas works out about £29 for last month but i have to take into account winter monthly bills which can be £70 for gas and £60+ electric monthly, last months electric bill was £49.

I run my own business so can't go full time, the business is turning a profit but can't take any more than that wage at present. The emergency fund is for gas boiler service, and any breakdowns. Preparing a packed lunch wouldn't save a great deal, have to buy bread, meat, drink and snack for a week.

cycloneuk

Don't see how we can cut groceries bill, works out at around £75 week. 2 tins of baby powder is £16 and then nappies another £10 and jars of food about £12 just for baby alone. I don't actually like a lot of foods, veg and all that - i had a very poor diet as a child so i blame that. The council tax should be for 10 months only so will need to correct that, stuck with Sky for time being and that is for the basic package really.

iamana1ias

cycloneuk wrote: »

The emergency fund is for gas boiler service, and any breakdowns.

Where is it then? You're not showing any cash!

cycloneuk

iamana1ias wrote: »

Where is it then? You're not showing any cash!

It's just above school dinners.

iamana1ias

cycloneuk wrote: »

Don't see how we can cut groceries bill, works out at around £75 week. 2 tins of baby powder is £16 and then nappies another £10 and jars of food about £12 just for baby alone. I don't actually like a lot of foods, veg and all that - i had a very poor diet as a child so i blame that. The council tax should be for 10 months only so will need to correct that, stuck with Sky for time being and that is for the basic package really.

You asked for help, but won't take any of it on board?