S11 Supporting Businesses in Difficulty
This is about recognising when a business is in difficulty, raising it with the owner sensitively, and helping them act early and get the right help. It covers immediate steps to protect the business, recovery where it is viable, and decisions about succession, sale or closure. Much of the specialist help needed in this area is regulated, so knowing the limits of your role and referring promptly are central.
Who it's for
Business support professionals who work with businesses facing financial, operational or personal difficulty, or planning succession, sale or closure.
What you need to show
- S11.1
Recognise the early warning signs of business difficulty, whether financial, operational or personal
- S11.2
Raise your concerns with the client sensitively and help them face the situation
- S11.3
Help the client assess their position, including cash flow, debts, creditors and the options available
- S11.4
Help the client take immediate steps to protect cash and reduce risk
- S11.5
Direct the client promptly to debt advice, insolvency professionals, or legal and accounting help when they need it, within the limits of your role
- S11.6
Help the client prepare the information they need for discussions with creditors, lenders, landlords and tax authorities
- S11.7
Recognise signs of stress or poor mental health and direct the client to appropriate support
- S11.8
Help the client plan recovery or turnaround where the business is viable
- S11.9
Support the client through decisions about succession, sale or closure
What you need to know and understand
- S11.K1
The common causes and warning signs of business difficulty
- S11.K2
Managing cash in a crisis, including credit control and late payment
- S11.K3
The informal and formal options open to businesses in financial difficulty, at an awareness level, and who is qualified to advise on them
- S11.K4
The duties of company directors when a company is in financial difficulty, at an awareness level
- S11.K5
The free debt advice and wellbeing support available to business owners
- S11.K6
Mental health awareness and how to direct people to support
- S11.K7
Succession planning, selling a business and planned closure
- S11.K8
The boundaries of your role and of regulated activity in this area
Evolved from
New Standard. Builds on Business Support 1 (item e and knowledge item 8) and Business Support 9 (knowledge item 16).