*URGENT* My employers are about to go bankrupt. And I'm owed £7K, and have no money o

pinkshoes

Locogooner wrote: »

I've done so informally. Not in an official letter as of yet.

The director said I'm slandering the company by making false claims.

Then he started threatening me and sending abuse.

It is obvious that they are insolvent.

By government definition, they are insolvent as they are not able to pay off debts on time or in full. They are severely in debt.

The only assets they have, are clothes.

The other reason why this is such a difficult decision for me is that it it's quite clear that there isn't much money left at all. There's around 8 other people that need to get paid.

I would essentially be nuking the company.

I have no idea where they would get the money from as well as investors are no longer interested.

Personally I'd go down the small claims route and nuke the company. It saves them recruiting anyone else who they will no doubt fail to pay.

A 'letter before action' stating your intentions with 14 days to pay up in full should get things finalised and moving...!

It will cost you a little, but might be worth it if it saves others being hit financially with no wages.

agrinnall

pinkshoes wrote: »

Personally I'd go down the small claims route and nuke the company. It saves them recruiting anyone else who they will no doubt fail to pay.

A 'letter before action' stating your intentions with 14 days to pay up in full should get things finalised and moving...!

It will cost you a little, but might be worth it if it saves others being hit financially with no wages.

I'm not sure how that helps the OP though, if they are insolvent and he is not an employee, as there is no money for him to win.

stator

You wouldn't be 'nuking' the company. They may still think they can save the company and will use the cashflow to pay the CCJ instead of getting a CCJ Default on their file which would cause the bankruptcy as everyone they owe money to would call in the debts.

Locogooner

stator wrote: »

You wouldn't be 'nuking' the company. They may still think they can save the company and will use the cashflow to pay the CCJ instead of getting a CCJ Default on their file which would cause the bankruptcy as everyone they owe money to would call in the debts.

Possibly, but the other downside with that is there are a few relationship I have with friends of friends /people within this community and associates within the company that I'm trying to leverage for future ventures.

paddyrg

Well one final option is to make them a settlement offer - £3500 (or maybe even less) if paid in full in cash by the end of the week, and for that you'll **** off and call it quits and sign a note to that effect - however you'll sign that if they give you the money in cleared funds by 5pm on Friday. It's a generous offer, and may get you paid ahead of other creditors, even pence in the pound is more than you'll see if they fold

Malthusian

Locogooner wrote: »

Possibly, but the other downside with that is there are a few relationship I have with friends of friends /people within this community and associates within the company that I'm trying to leverage for future ventures.

Why would you want to work with people who would think less of you for collecting money that you're owed?

If word gets out in the community that you'll happily work for free and can be easily browbeaten into not collecting your debts then it'll be you that gets leveraged.

Locogooner

Malthusian wrote: »

Why would you want to work with people who would think less of you for collecting money that you're owed?

If word gets out in the community that you'll happily work for free and can be easily browbeaten into not collecting your debts then it'll be you that gets leveraged.

That's actually a very good point.

I think I will speak to a solicitor first.