What is it?

Its an agreement usually brokered where a business has a small number of creditors but needs time to bring its creditors back within terms. Often a business may only be in arrears with its VAT and PAYE.

Who is it for?

Businesses which are profitable and cash flow positive that have built up arrears with certain creditors. This may have occurred by incurring a bad debt or after a period of loss-making trading. HMRC term such arrangements ‘time to pay’ agreements. Negotiations should commence before creditors begin to take legal action.

How can Chamberlain & Co help?

The company should instruct an insolvency practitioner such as Chamberlain & Co to advise the directors on the most appropriate course of action.

Chamberlain & Co can be authorised to negotiate directly with HMRC and to provide a supporting report and forecasts to assist HMRC to assess and approve the request.

The process

The company or another authorised party can negotiate directly with the HRMC and other creditors to put in place a schedule of payments. This enables the business to continue to trade whilst getting back on terms with its creditors. This extends the period of repaying creditors to a much longer time-frame.


• Due to the the communications and agreements reached, the business should avoid any legal action being taken against it.

• It’s a good tool for businesses suffering from a temporary financial difficulty.
•This informal process should not have any adverse consequences upon the business’s credit rating.
•Professional fees will be minimised.


• It is not a legally binding agreement and therefore creditors may decide not to adhere to it. However, this is not the case when agreements are made with HMRC, providing the business meets it’s obligations.

Other Options Available

Company Voluntary Arrangement (CVA), Administration, Creditors Voluntary Liquidation (CVL), Members Voluntary Liquidation (MVL), Compulsory Liquidation (CL)

Company Administration

Onwards through insolvency


Onwards through insolvency


Onwards through insolvency

Company Dissolution

Onwards through insolvency


Onwards through insolvency

Business Restructure

Onwards through insolvency

Get in touch with us today on 0113 242 0808