Rupert Mullins of Benedict Mackenzie warns retailers that they may face a tough time this year. Already Benedict Mackenzie has seen a significant increase in the number of retailers seeking their advice due to poor Christmas sales, the same experience has been repeated at all of their offices throughout the south of England.

Despite recent statistics, that like for like sales had increased by around 3%, this was certainly not the case for all retailers, with sellers of electrical goods being hit particularly hard. This has left a number of retailers suffering from cash flow difficulties in January and without further funds they could face serious problems which will affect their ability to trade.

Rupert Mullins, partner at the Bristol office of Benedict Mackenzie, advises retailers who are facing difficulties to seek the help of their professional advisers or bankers. However without a credible plan to trade out of their current financial situation, they may find that creditors are unsympathetic.

“Some retailers may prefer independent help; in which case they should seek the help of a local insolvency practitioner sooner rather than later” says Mr Mullins. “The sooner they get help the more opportunity there is to turn their business around; if they leave it for another two or three months to see if things ’settle down’ it is likely to be too late and the business could face insolvency.”

More information on Benedict Mackenzie can be found by phoning your closest office or emailing info@benemack.com