Is your family business in financial distress?
Running a family business comes with unique pressures — especially when financial challenges arise. We offer confidential advice and support that helps directors regain control of their finances and explore options for business recovery.
Whether you’re based regionally or in the capital, our London office also stands ready to support you with the same level of expertise.
Recognising the warning signs
Financial distress rarely happens overnight. Some common early indicators include:
- Persistent cashflow problems
- Pressure from creditors, including HMRC
- Falling margins or declining sales
- Difficulty meeting payroll or supplier payments
- Increasing reliance on borrowing
If any of these sound familiar, it’s time to take stock, do not panic.
Your legal duties as a director
When a company is solvent, directors must act in the best interests of shareholders. But once insolvency looms, your duties start to shift to prioritising the interests of creditors.
This includes:
- Avoiding transactions that worsen creditor positions.
- Not incurring further credit, the company can’t repay.
- Keeping accurate financial records and record decisions.
- Taking advice from an insolvency practitioner
All liquidators or administrators are legally required to report on the conduct of every director involved in an insolvency process (except CVAs). Failing to act responsibly can lead to disqualification, personal liability, or legal action. Once a company is insolvent it is actually quite difficult to avoid breaching director duties and the best way of avoiding doing this is to take and follow advice from a Licensed Insolvency Practitioner like us.
Director
Understand your financial options
Check the health of your business with our free business health check tool.
Free test includes:
- Company health assessment
- Types of solutions available
- Options & next steps
*All information provided is completely confidential and will not be shared with a third party
Free resources to help struggling businesses
We offer a free, no-obligation initial consultation to discuss your situation and explore your options. We’ll provide transparent and upfront pricing based on your specific needs. Once we are engaged we get paid from company assets so our charges won’t have to be paid by you personally.
Discover the early warning signs for a failing business and how to manage a cash flow crisis to when to speak to an insolvency practitioner.
Find out how your struggling business can survive financial difficulties through to how to close your business the right way.
Explore how the insolvency process works with our guide detailing the least to the most severe insolvency options.
Find out whether or not you should offer a personal guarantee to help your struggling business, along with the risks involved.
Browse our library of top tips for directors of struggling businesses, from managing your reputation to funding a struggling business.
If you’re facing financial difficulties arising from business activities, we can help.
Find out how.
Additional resources: Negotiating with creditors | CIBLs | HMRC debt | Time to pay agreements
Free advice line for distressed company directors > 0800 331 7417
Personal guarantees: What you need to know
Many directors of family businesses have signed personal guarantees — often to secure loans, overdrafts or supplier credit. These agreements make you personally liable if the company can’t repay its debts.
If your business is struggling, it’s vital to:
- Review any PGs you’ve signed
- Understand the potential exposure
- Seek advice before triggering enforcement action
We regularly help directors negotiate with lenders and minimise the personal impact of guarantees.
Book a free 1-2-1 consultation and get confidential advice
If your company is struggling to pay creditors, or you’re experiencing decreased cash flow and have concerns about your finances, book a free 1-2-1 with our specialist team.
During your free initial advice meeting, we will discover a true picture of your company’s financial situation
and will offer practical and expert guidance on your next steps.
Initial meetings can be held at our office or your premises and are completely confidential.
There is no charge for this meeting – we only begin to charge if and when the terms of engagement have been agreed.
What are your options?
Every situation is different, but common routes include:
- Rescue and turnaround: With the right support, many businesses can recover. This might involve restructuring, refinancing or negotiating with creditors.
- Company Voluntary Arrangement (CVA): A formal agreement with creditors to repay debts over time, while continuing to trade.
- Administration: In theory, a protective process that can preserve value and jobs while a plan is developed, but in practice very like a liquidation.
- Liquidation: If rescue isn’t viable, closing the company in an orderly way can help preserve the business and save jobs.
How McTear Williams & Wood Can Help
Specialist Support for Family Businesses in Distress
Family businesses often face unique challenges when financial pressure mounts — from emotional decision-making and intergenerational dynamics to personal guarantees and legacy. At MWW, we understand these complexities and tailor our support accordingly.
Here’s how we help:
- Empathetic, confidential advice: We know that financial distress can feel personal — especially in a family-run firm. Our team offers discreet, no-obligation consultations to help directors understand their position and options without pressure.
- Director-led service: You’ll work directly with experienced insolvency practitioners — not passed down the chain. This ensures fast, informed advice and continuity throughout the process.
- Tailored solutions: Whether it’s a turnaround, restructuring, or formal insolvency procedure, we shape our advice around your business and your needs.
- Local expertise: Our London team has a deep knowledge of the regional economy and strong relationships with local lenders, accountants and legal professionals.
- Over 25 years of experience: We’ve supported hundreds of SMEs — including many family businesses — through cashflow crises, creditor pressure and formal insolvency with professionalism and care