Running a business involves taking responsibility and being accountable for Director's responsibilities and duties. We often see business owners and directors "playing" business rather than taking it seriously, let us be brutally honest, being in business is a game for adults (although there are amazing teenage entrepreneurs that manage just fine!) Just this week ASIC disqualified two directors for running their businesses carelessly - read more here.
Running up debts without consequences and not paying Creditors or taxes is not indicative of a serious business owner and the old adage "If you can't take the heat stay out of the kitchen" applies equally to business.
Sometimes businesses get into financial difficulties due to the fault of others, a significant debt may end up as a bad debt putting the business under unexpected pressure.
No matter what the cause is, the most important thing is to act immediately. We have seen many of these cases over the years and those directors that acknowledge they have issues come off far better than those that do not and in some cases can even turn their situation around.
Disclaimer: This information is general in nature. So, before acting on this or any other information, it is important to seek professional advice related directly to you and your circumstances before making any software or other changes. Should you require our assistance, contact your Primarius Team leader, or email us at firstname.lastname@example.org