An unpaid invoice is different from spendable income
Freelancers can have work booked and invoices issued while still lacking cash to pay current bills. Build the review around realistic collection dates, required business spending and money reserved for tax. Personal credit used to bridge client delays also needs to be listed, even where the expense originated in the business. Identify whether an agreement was signed personally, by a company or with a personal guarantee.
Present a practical forecast alongside the arrears list
Business Debtline’s UK support is designed for people whose work and household finances overlap. A useful forecast distinguishes confirmed income from possible future work and shows how seasonal gaps would be funded. An adviser can help consider tax arrangements and other creditors together. If the business cannot cover its ongoing costs, further personal borrowing should not be treated as a substitute for examining viability and the consequences of continuing to trade.
