Protect yourself in difficult economic times

It’s unfortunate news, but 50,000 businesses are expected to go bust this year. These could even include your Wedding supplier. If you use a sole proprietor or Partnership, like Chapter, you are afforded a great deal of protection by personal recourse to the individuals, it’s very much their name on the line to deliver the goods, subject to the terms you enter into with them.

If however you buy from a Limited company or a Limited Liability Partnership for example, you have no personal recourse. If the company is dissolved or liquidated, it is very unlikely you would receive the service or goods or even get your money back. So what can you do to avoid being let down? Firstly ask yourself, are you comfortable with that company, were you made to feel confident about how long they’ve been in business and their reputation within the industry? Long standing businesses, tend to know how to stay in business and have a reputation to reflect that.

Positive signs of a strong and trustworthy business:

• Friendly and helpful knowledgeable staff

• Company established for a good period

• Recommended by someone you trust preferably who has used them before

Ask around about the business, to find out what their reputation is. Or why not ask me or one of your other Wedding suppliers to see who they would recommend?

Ultimately you will have to decide whether you are comfortable with the risk of using a particular company.

By Ricardo Di Donato - January 2010