Tweet
Hello please can someone confirm if I am right
A retail company trading up to 6 years ago before it was liquidated. At this company a friend of the director loaned money to buy goods for the business, money was repaid and the profit split.... over the trading years this friend made very good money. ( a fair weather friend) This was never deemed a personal loan and repayments were all recorded through the business accounts. No personal repayments were made and all monies received had gone into the business.
Now working in a new business this ex-friend has been repaid a considerable amount of the money he claimed was due repaid to him, this money has come from personal accounts/loans however the figure was never agreed and is not accurate. I feel the ex-friend is lucky to have had anything back at all and actually should not have had anything. Paying anymore would cause severe hardship. Now the ex-friend has had a solicitor send letters requesting the outstanding balance - How do we reply to him? I doubt all the facts have been made clear to this solicitor.
A retail company trading up to 6 years ago before it was liquidated. At this company a friend of the director loaned money to buy goods for the business, money was repaid and the profit split.... over the trading years this friend made very good money. ( a fair weather friend) This was never deemed a personal loan and repayments were all recorded through the business accounts. No personal repayments were made and all monies received had gone into the business.
Now working in a new business this ex-friend has been repaid a considerable amount of the money he claimed was due repaid to him, this money has come from personal accounts/loans however the figure was never agreed and is not accurate. I feel the ex-friend is lucky to have had anything back at all and actually should not have had anything. Paying anymore would cause severe hardship. Now the ex-friend has had a solicitor send letters requesting the outstanding balance - How do we reply to him? I doubt all the facts have been made clear to this solicitor.
