How does a CCJ affect a limited company? County Court Judgements can have an impact on limited companies. Running a limited company can be difficult, but understanding the effects County Court Judgements have is crucial.
A limited company is a type of business where the owner’s income is separate from the company’s income – this is generally known as limited liability.
It can be hard to get to grips with the rules and regulations of owning a limited company. It’s best to seek advice and have a trusted professional to guide you through.
It’s essential for company owners to explore how County Court Judgements could affect them, as well as the measures that can also be taken to prevent anything from happening. To find out more information, continue reading.
What is a County Court Judgement?
Commonly known as ‘CCJ’ County Court Judgments are legal decisions that are passed down by the County Court. It’s possible for you to receive a County Court Judgment if someone decides to take action against you.
Being given a County Court Judgment can have a lasting impact on your credit rating, which can be detrimental to your business. If an individual has failed to make a payment, the County Court has the right to issue a CCJ.
If the unpaid payment is left unresolved for too long, the judgment could result in compulsory liquidation of the company. Outstanding debts should be taken care of and paid in good time if you want to avoid legal action being taken against you.
It’s understandable why some companies struggle to recover their debts. If this is the case, it’s in your best interest to speak with an accountant to learn more about the options available to you. Here at LJS Accounting Services, we guide our clients on the right path and provide expert advice at all times necessary.
Can a County Court Judgment Affect Your Company?
If debt repayment isn’t paid after 30 days, your business and position as company director can be impacted massively. It’s important to prioritise paying off any County Court Judgements on time.
The financial impact on your company can leave you in ruin, with the potential of affecting how your business operates for the foreseeable.
A County Court Judgment has long-term consequences. To maintain the financial well-being of your company, it’s key to stay on track by paying the debt. If you refuse to pay the CCJ, bailiffs can intervene and seize your business.
In terms of job prospects, employees can’t find out about County Court Judgments. It’s possible for business owners to have a CCJ set aside if it’s a default judgment.
How LJS Accounting Services Can Help
LJS Accounting Services have been operating for over a decade, providing professional accounting services to clients. We are Liverpool-based accountants with a difference – our team of friendly accountants helps get under the skin of your goals and save you time and money. We’re dedicated to helping clients, even through the more demanding times of their business journey.
We help grow your business and take care of the more tedious financial tasks. It can be challenging juggling different aspects of business, especially when you’re operating a limited company.
Our team puts you on the right path and remains on hand at all times to ensure you’re given the advice you need when you require it.
If you’re operating as a limited company and want to learn more about County Court Judgments and how they can affect your business, we can help.
Your appointed accountant will act as a friend, leader and financial advisor. It’s easy to create distance from that entrepreneurial spark when you’re dealing with debts, which is why it’s beneficial to have an accountant work alongside you.
Our accountancy firm is award-winning, offering bespoke services to a wide range of businesses operating in various sectors. We have three main office locations spread across the North-West, including Liverpool, Wirral and St Helen’s.
To talk further with a member of our team, feel free to contact us today by calling us on 0151 601 0000. Alternatively, email us directly at firstname.lastname@example.org. We look forward to hearing from you.