Bailiff action against a company

When a company owes money, a creditor with a court judgment, or HMRC using its own powers, can instruct enforcement agents, still widely called bailiffs, to take control of company goods and sell them to clear the debt. The process is governed by the Taking Control of Goods rules. Agents must usually give notice first, normally seven clear days, before they visit, and there are strict rules on what they can take, when they can enter and the fees they can charge. They generally cannot take goods that are essential tools of the trade below a set value, items on hire purchase that the company does not own, or third-party property. Enforcement is a sign the debt has reached a serious stage, often after a County Court Judgment or HMRC enforcement notice, so it should prompt immediate advice. A Licensed Insolvency Practitioner can explain whether a formal procedure would protect the company and stop the action. Taking Control of Goods Regulations 2013; gov.uk

Key facts

Who can act: Enforcement agents with a judgment, or HMRC using its powers
Notice: Usually 7 clear days notice before a visit
Cannot take: Essential trade tools below a value, hired or third-party goods
What it signals: The debt is at a serious, late stage. Take advice now

Enforcement is late-stage, so act fast

Bailiff action usually means a debt has already passed through demands and often a CCJ. A formal procedure such as administration creates a moratorium that can stop enforcement, so this is the point to speak to a practitioner the same day.

Common questions

Can bailiffs force entry to business premises?

For most company debts, enforcement agents can enter through usual means but face limits on forcing entry, and there are strict rules and fees. The detail depends on the debt type, so get advice quickly.

Can a formal procedure stop bailiffs?

An administration moratorium can halt most enforcement action, which is one reason directors under enforcement pressure should speak to a practitioner urgently.

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Bailiff action against a company. When a company owes money, a creditor with a court judgment, or HMRC using its own powers, can instruct enforcement agents, still widely called bailiffs, to take control of company goods and sell them to clear the debt. The process is governed by the Taking Control of Goods rules. Agents must usually give notice first, normally seven clear days, before they visit, and there are strict rules on what they can take, when they can enter and the fees they can charge. They generally cannot take goods that are essential tools of the trade below a set value, items on hire purchase that the company does not own, or third-party property. Enforcement is a sign the debt has reached a serious stage, often after a County Court Judgment or HMRC enforcement notice, so it should prompt immediate advice. A Licensed Insolvency Practitioner can explain whether a formal procedure would protect the company and stop the action.

Speak to a Licensed Insolvency Practitioner

Tell us briefly what is happening and we will arrange a free, confidential, no obligation call with a Licensed Insolvency Practitioner. The earlier you get advice, the more options you usually have.

Free, confidential and no obligation. We are an independent information service and introduce directors to a Licensed Insolvency Practitioner. This is general information, not regulated advice.