Hospitality Owner Secures 66% Debt Reduction

When a hospitality business went into voluntary liquidation, the owner was left personally exposed to a £150,000 personal guarantee. With bankruptcy looming and no realistic way to repay the full amount, he turned to Bell & Company for expert support.

The Challenge

Following the business’s closure, the owner was pursued by a an agressive lender demanding full repayment of the personal guarantee. The creditor initially took a rigid, non-commercial stance, refusing to engage in negotiation. Due to the recent nature of the loan, the lender viewed recovery as a high priority, putting our client under extreme pressure.

With bankruptcy on the horizon, the client sought urgent professional advice to safeguard his assets, protect his family, and avoid long-term financial consequences.

Our Approach

Bell & Company’s Debt Solutions Team stepped in to take over negotiations with both the lender and their appointed solicitor. Leveraging our specialist knowledge and established industry channels, we:

• Engaged the creditor’s legal representatives directly
• Highlighted the complexities of the client’s situation
• Presented a compelling case for settlement based on commercial realities
• Reduced the client’s equitable interest in property to minimise risk
• Created the right pressure and persuasion points to bring the creditor to the table

What started as a hard-line stance from the creditor shifted after our intervention. Their solicitor adopted a more pragmatic, commercial mindset, leading to a breakthrough in negotiations.

The Outcome

Through our strategic efforts, the debt was settled for just £50,000 — a £100,000 saving, equating to a 66% debt reduction.

Most importantly, this settlement prevented bankruptcy, protected the client’s personal assets, and gave him the opportunity to make a fresh start.

“The client’s relief was palpable. He was delighted with the result and expressed how grateful he was to finally close this chapter.”
— Rory McGimpsey (Head of Corporate Debt Solutions)

Delivering Results

Original debt: £150,000

Settled for: £50,000

Savings: £100,000 (66%)

Outcome: Bankruptcy avoided, assets protected, peace of mind restored

Do You Need Help With A Personal Guarantee Debt?

If you’re facing financial pressure from a personal guarantee or business debt, you’re not alone. Bell & Company has helped thousands of clients find a way forward — even in the most challenging cases.