With effect from 1 January 2010, the requirements for Operators to satisfy the "Financial Standing" requirement changed.
For your first vehicle, the finance required is £8100.00 (up from £6200.00) and for every additional vehicle £4500.00 (up from £3400.00). There was no change in the finance required for a Restricted License.
What is financial standing? What is meant by "available funds"? The answers given by the Administrative Appeals Chamber of the Upper Tribunal provides guidance:
"an Operator only has available financial resources or capital and reserves if he has money in the bank which is capable of being used (ie it is not already needed for the payment of debts in the ordinary course of the business) or an overdraft at his disposal but there is a balance undrawn before the limit is reached or he has debts which are obtainable because they are due and likely to be easy to collect or he has assets from which money is easy to get in the sense that the assets are items which can be readily sold without any adverse affect on the ability of the business to generate money, or he has some other way in which to come up with money at fairly short notice, should it be needed. Whether or not an Operator has available sufficient financial resources or has available capital and reserves is a question of fact and degree which has to be determined according to the circumstances of each individual case".
By now, you will realise that you need our help. We understand the requirements and can advise you, so please contact us.
If you are facing insolvency, then there are consequences for your operators licence. Please use the link to contact our Insolvency Partner, Victoria Judge for advice
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