Revenue Debt Warehousing, Debt Restructuring and SME Cashflows

The government Debt Warehousing Scheme provided vital financial relief to businesses coping with the COVID-19 pandemic, allowing the deferring of tax liabilities. It eased immediate cash flow pressures, allowing businesses to allocate funds to essential areas such as payroll and operational expenses.

Following several time extensions, 1st May 2024 is the deadline to put a plan in place to address warehoused debt with Revenue, by either paying in full or via a Phased Payment Arrangement (PPA). Proactive engagement with Revenue, and understanding the available repayment options, are essential steps for SMEs to ensure they can transition out of debt warehousing without disrupting their cash flow.

Remembering that effective cash flow management is crucial for the survival and growth of SMEs, borrowers entering into repayment schedules (PPA’s) with Revenue will need to review all their debt payments and ensure they are structured to best suit the needs of the business and its future prospects.  Each business’s financial situation is unique, and requires a debt restructuring plan to meet its specific needs. Seeking professional advice is highly recommended to ensure that SME’s make informed decisions based on their individual financial circumstances.

What if the bank refuses to restructure debt?
Credit Review can help. We provide an independent appeals process, reviewing credit and loan refusals by the banks and helping businesses that have been refused loans, had credit facilities reduced or need to change the structure or term of their loans.
For more information on our appeals process and information services, visit www.creditreview.ie or call our helpline on 0818 211789.