Prepare your business for Brexit, deal or no-deal

Irrespective of who becomes the UK’s next Prime Minister, it’s essential that business owners prepare for Brexit.

Cynical business leaders may take advantage if the UK leaves the European Union (EU) without an exit deal on 31 October. It’s likely they will show no loyalty to European suppliers after the leave date.

Consequently, don’t be surprised if European suppliers find themselves saddled with a huge amount of bad debt.

Conversely, there will be restrictions stopping European companies from buying UK goods and services. Inevitably, this will take sales off our order books, disrupt markets, and lead to a rise in corporate insolvencies.

The trading environment following a no-deal Brexit would be similar to the early days of the Wild West with minimal regulations and few safeguards.

It will take time to strike deals. Some will fall into place within 12 to 18 months, but others will take longer.

Foreign firms would be queuing to buy insolvent British companies. Our utilities and communications companies have value and would be of particular interest to Chinese, American and European buyers.

Athough sections of the British media suggest otherwise, many business owners expect Brexit to happen, they’re just not sure when.

As a result, some companies have already established Brexit departments and new posts such as Head of Brexit and Brexit Director.

This type of planning is admiral because time is passing quickly, and the big divorce day may soon be upon us.