Why should you check an installer’s financial position?
There are several things you should check when thinking about installing a Sewage Treatment Plant. Please see our main page for the full list. One of those that we are frequently asked about is how can you see if the company you are using is in a good financial position.
This is really important as many installers will ask for a deposit upfront. Typically this is 50%, some more aggressive companies will ask for 50% upfront and 35% on the first day. If it is the latter there is even more reason to check their financial health. However, if you are paying 85% before the job even begins and they do a terrible job then you are in a very weak position. This is probably the reason they ask for such a big deposit in the first place, as they have had issues in getting payment from unhappy customers. Anyway, this is an aside you want to check the company’s financial health to make sure they do not go bust before starting work and taking your money with them.
The second big reason to check a companies’ financial health is to do with warranties. If the company is likely to fold then any warranty they provide will be null and void.
Checking an Ltd company’s financial records:
- go to https://find-and-update.company-information.service.gov.uk/
- Enter the name of the company and hit the magnifying glass symbol.
- Select the company you are investigating.
- Select “Filing History” from the available tabs.
- In the filter by category section tick accounts.
- View the pdf at the top of the list. This is by default their latest financial records.
- Find the page with the Balance sheet in the heading.
- Look for the line “Total net assets (Liabilities)”, if this number is in brackets e.g. (£50,000) then the company owes more than it has. Considering deposits are being taken this indicates a company is in a very poor financial position. You would expect this number to at least be positive by £30,000.
What if the company is not Ltd?
The company is not really a company if it is not Ltd and listed on the company’s house register. The entity is simply a self-employed person giving themselves a company name. It is not to say that such an arrangement will lead to a poor installation. It is just something to be aware of. You should still carry out your other due diligence checks in terms of recommendations and reviews. However, I would not be happy to hand over a deposit to a sole trader. The main reason for this is that you do have not an idea of their financial position. You cannot verify how long they have been trading and there is no registered address should the worst occur.
Want to learn more?
We have a large collection of articles containing the answer to all of your questions. Check out our Blog Page. If you would like to talk to us about a Sewage Treatment Plant Installation please have a look at our article and then get in touch: Sewage Treatment Plant Installation If you would like to consider a Septic Tank Installation then please see the following article for more information and then get in touch for a quote: Septic Tank Installation.
Our Core Services: The Sewage Treatment expert Installers
On the 1st January 2020, all Septic Tanks that discharge to a Stream, Watercourse or Drainage Ditch will become illegal and will require replacing with a Sewage Treatment Plant. Please see here for more details.
Expert wastewater treatment engineers who specialise in Septic Tank and Soakaway replacements as well as Sewage Treatment Installations. We are based in the New Forest, Hampshire but operate across the South Coast as well as Wiltshire, Somerset, Devon, Sussex, Surrey, Oxfordshire, and Berkshire.
The Home of Septic tank and private drainage system solutions.
Based in the New Forest, Hampshire on the border with Dorset and Wiltshire we operate an expert team of off-mains drainage specialists. This encompasses Septic Tank, Soakaway and drainage system problems, installations, blockages, and servicing. In addition, any issues relating to cesspits and sewage treatment plants.
Homeseptic offers high quality, professional advice, repairs and installation for all aspects of effluent cleansing and disposal across the south of England. Whether you’re looking for septic tank installation, sewerage treatment plants or systems, piping or soakaway solutions, Homeseptic employs only the most competent engineers in the drainage and treatment industry and knows exactly which solutions suit each property.
We only install and offer quality systems we believe in, from suppliers we know and trust.
New Forest Philosophy
As we have said Homeseptic is based in the New Forest. A great location in between the cities of Southampton, Salisbury and Bournemouth. We are a group of good friends who grew up together in the area. Individually we all have grown tired of the way other Drainage firms are run. As a result, this is why we set up Homeseptic. If you want to know more please check out our About Page
We want to actually put the customer first and turn up to do a great job that we can be proud of. Unfortunately, this is not the case in the market, with most companies pressuring their workers to sell unnecessary works on a visit. Due to this, we offer upfront quotations with any variations discussed before we start work.
We are honest hard working professionals, which we hope you will agree with. As a result, it will certainly not turn up in flash sales vehicles and give you a load of chat and then do a terrible job. Our team will come with the job in mind and the aim of giving you the best value we can in order to facilitate a quality installation.
We cover all of Hampshire, West Sussex, Dorset, Somerset, and Wiltshire. Please get in touch and see what you think.