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B2B Credit Risk & Company Financial Health | identeco

‘Critical’ financial distress jumped by 43.8% year-on-year in Q4 2025. By the end of December, more than 67,000 businesses were in this category, a steep increase on the previous quarter.

Credit Control Lessons from 2025 | Prepare for 2026 with identeco

We’re starting to hear more and more stories from across the UK business community about late payments, stretched cashflow and, in some cases, insolvencies - often with large unpaid invoices sitting on creditor books.

Are you an SME affected by late payments?

Late payments are the leading cause of cash flow problems for UK small and medium-sized enterprises (SMEs), according to 41% of business owners.

Differences between liquidation and administration

While liquidation and administration are both formal insolvency processes, the key difference is that administration looks to rescue viable elements of a business to allow trade to continue, while liquidation is simply a way of closing a company in an orderly manner.

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