Business has closed but vouchers still available

[Beautyw]

Hi, my business closed a few weeks ago and there's been vouchers that still need to be used. I thought I could still do the treatments but just not up to it due to personal reasons.

As the business wasnt doing well I have no money to my name. I want to let the clients with vouchers aware I can't do their treatments and give them their money back but I dont no when that will be. Is there any polite way of saying this to them or something that would be reasonable and understandable? I just can't think.

 

[Pinkbunny28]

You could say as the business has now closed you have until <insert date of your choice here> to redeem your voucher. If you do not do so your voucher will become void.

And only give a couple weeks for it. I think this is fair for everyone involved. How many vouchers are there? Hth x

 

[Beautyw]

I'm not going to be able to redeem their vouchers due to personal reasons so really it's how to say this to them and let them know money issues are bad right now and can't give them their money right now, it may be a month or so down the line.

 

[TracyS]

Do you have any therapist friends who might honour the vouchers in return for an exchange of something with you? Or perhaps they would know you well enough to understand your circumstances and know that you will pay them for the treatments as and when you're able.

If that's not possible, I would write a note to the clients, explaining as much as you feel able to in as honest a way as you can and tell them you will refund their money at the earliest opportunity.

I honestly have no idea what kind of response you will get but it's something it doesn't sound like you can avoid doing.

xx

 

[bombini]

Sorry to sound harsh but you will have to find a way to either refund in full or offer them a treatment when they require it before the vouchers expiry date.

You say you can't offer treatments for personal reasons, if the issues are likely to be resolved in the next few months could you do the treatments after ?

You could end up being taken to the small claims court by unhappy clients if they don't get the treatment or money back.

 

[Zeroprojection]

I would firstly get in touch asap to explain that youre business has unfortunately closed and apologise. (just so they dont make plans about using these vouchers) and then explain you will be able to offer them a refund once your business affairs have been completed e.g. that your suppliers, rent and whatever else has been paid.
I would say it is important to give these clients a date on when they will receive a refund and stick to it. Just saying youll do it as soon as you can sounds like an empty promise and these people could become really angry about it.

 

[ballyboo]

If i were you, i would suck it up and do the treatments. After all, you have already spent their money so if you cannot give them their money back then you must do the treatment. You could end up with some angry people which i'm sure you don't want hun x

 

[sjmand]

Is it a salon voucher? Do you have a lot unredeemed? Or is it a group on type voucher?

 

[Victoria1984]

I have a different view. If the business is no longer trading then I don't think you are under any legal obligation to provide the treatments. And if the business has no funds or assets that can be sold to generate funds than there is no money in the business to refund the vouchers. I might be wrong on this, but this is certainly how it works with limited & sole traders that cease trading or are dissolved. If you plan to reopen when your circumstance change you could explain to your clients that you are sorry and can't refund but at some point in the future (maybe the next 6-12 months) you may be in the position to honour the vouchers. hth x

 

[kylieb]

I also don't want to sound hash but at the end of the day you have had the money and spent it so you either have to do the treatments or give their money back. It's not the clients problem really. I can imagine you are going to have a lot of cross clients if you don't come up with something quick x

 

[Jen889]

I would firstly get in touch asap to explain that youre business has unfortunately closed and apologise. (just so they dont make plans about using these vouchers) and then explain you will be able to offer them a refund once your business affairs have been completed e.g. that your suppliers, rent and whatever else has been paid.
I would say it is important to give these clients a date on when they will receive a refund and stick to it. Just saying youll do it as soon as you can sounds like an empty promise and these people could become really angry about it.

i agree with this!! even though you cannot do the treatments atleast give a date they can expect refunds back by

 

[Mrs RSM]

What are the expiry dates on the vouchers and how long before you closed did you stop selling vouchers?

When I closed my salon, I stopped selling vouchers as soon as I knew and then put a notice up on the website, Facebook page and on the salon window to state the situation so people could redeem.

 

[HWilliams]

To be honest, I'd double check with Trading Standards.

We've bought vouchers from 2 High St stores that have now ceased trading and they refused to accept the vouchers as payment and refused to refund the voucher amount.

Both their head offices told the shop staff as soon as they knew they were going into administration.

As annoying as it was for us and the people we bought the vouchers for, there was nothing we could do.

The vouchers went in the bin. So technically that year those 2 people didn't get a Christmas present of us.

I think as a consumer, it's a disgrace. The vouchers were paid for in cash therefore should be accepted regardless of whether or not their going into administration. The till still has voucher button on it!

But from a business point of you, if you really cannot do it, see where you stand with trading standards.

Where are you in the UK by the way?