2 min read
Your two main routes
Contact HMRC promptly about a Time to Pay arrangement, or arrange a short facility to cover the bill and repay as customers pay you. Both keep you compliant; ignoring it triggers surcharges. See understanding your VAT bill.
Prevent the next one
The lasting fix is to ring-fence VAT as it comes in. Read how to set money aside for VAT and tax and use the VAT calculator.
What it means for you
Credicorp lends to your company, not to you personally, and takes no personal guarantee. See business loans or apply online.
Frequently asked questions
What if I can't pay VAT on time?
Contact HMRC early about Time to Pay, and consider short-term finance. Acting before the deadline avoids surcharges and interest, which build quickly on unpaid VAT.
Is it sensible to borrow to pay VAT?
Yes, when it bridges a timing gap and is repaid as you collect from customers. The money is yours to collect, just not yet — that is exactly what short-term finance is for.
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Read →Funding for UK limited companies
Credicorp lends to your company, not to you personally — short-term working capital with no personal guarantee. See what your business could access.