Landlords and Property Management: rescue and insolvency advice
Financial pressures in landlords and property management
Property businesses can involve several separate pools of money: company funds, tenants’ deposits, service charges and client rents. These distinctions must be clear before assessing debts or cash available to creditors.
- Mortgage or rent commitments
- Client money, service charges and tenant deposits
- Repairs, management contracts and occupied properties
What to review before deciding
Map each property to its owner, borrower, management agreement and bank accounts. Reconcile client balances separately from the company’s trading cash. Identify urgent repairs and who is responsible for maintaining services to occupants.
Rescue, repayment and closure options
The first question is whether the underlying business can meet its ongoing costs after realistic changes. A business rescue review can examine margins, creditor discussions and the resources needed to keep delivering work. Where tax arrears are part of the problem, HMRC Time to Pay depends on an acceptable, affordable proposal; approval is not guaranteed.
For a suitable limited company, a Company Voluntary Arrangement or administration may warrant consideration. If recovery is not viable, read about Creditors’ Voluntary Liquidation. Formal appointments require a licensed insolvency practitioner. The right route depends on the legal structure, jurisdiction and facts, not the sector label alone.
Prepare for a confidential discussion
Bring recent accounts, a current bank balance and a list of overdue payments. For landlords and property management, also prepare records covering mortgage or rent commitments; client money, service charges and tenant deposits; repairs, management contracts and occupied properties. Identify any payment demand, hearing or other deadline at the start of the conversation.
Ask for the proposed scope of work, likely fees and any assumptions in writing before agreeing to a paid service. An initial enquiry does not commit you to a procedure. Complete the enquiry form or call 01246 912052 to explain the position.
On this page
Need help now?
If a deadline is approaching, tell us the date when you call.
Related guidance
Landlords and Property Management: common questions
Do not treat money collected for landlords as unrestricted company cash. Its legal status and account arrangements need review, with accurate reconciliations supplied to advisers.
Do not assume that it does. Property ownership, tenancy rights and any insolvency appointment require specialist assessment before notices or changes are proposed.
Review lender security, sale value, tax and the position of creditors. An asset sale may be relevant, but proceeds are not necessarily all available to the company.
Further reading: Closing a limited company. Guidance reviewed 1 November 2026. Regulatory requirements and procedures vary across the UK; obtain advice for your location and business structure.