Administration

Administration can offer one of the best solutions to the preservation of a business. More recently, the use of this process has assisted our corporate recovery team in saving all or part of many businesses and as a consequence, many jobs.

Business Turnaround

No company or individual wishes to be the subject of formal insolvency proceedings. We will explore every option available to try to find a solution to help avoid them.

Confidential Advice

If you are concerned about the future of your business, have experienced a downturn or have had unexpected bad news, seek advice as soon as possible. We are used to helping business owners who feel like there is no way out of their problems, and will offer friendly support and confidential advice to find a solution that works.

Independent Reports

Bankers and other financial institutions do not want to force businesses out of business. However, they do not want to put loans at risk either – so we will work on finding creative solutions to best protect their interest. We recognise that clients need clear advice and we provide it.

Informal Arrangements

This firm has assisted many businesses in agreeing informal arrangements with creditors, in particular with HM Revenue & Customs which has provided much needed ‘breathing space’ in order to bring cash flow back into line.

Liquidations

In the event that a company is unable to continue, we can provide directors and shareholders with early advice and the procedures to follow. We are conscious of the stress caused to all involved in these situations and can explain fully the effects and consequences for directors and officers of such companies.

We can also act as Liquidator to solvent companies that require to be wound up for reasons of reorganisation or as part of a “tax-driven” scheme.

Receiverships

Our corporate team believe in working closely with an appointing bank/financial institution in order to develop and execute a strategy which yields the maximum recovery pursuant to the terms of their security.

We can also offer advice to a lender wishing to obtain security in respect of its lending.

Voluntary Arrangements

In contrast to both bankruptcy and liquidation proceedings, Voluntary Arrangements allow companies and individuals to compromise debts owed to creditors. Such Arrangements are not necessarily public knowledge.

We are able to act as Supervisor of such Arrangements which can be particularly useful to the company/individual whereby the business is generally capable of generating profits in the future but has suffered difficulties as a result of past events (eg. bad debts).

OUR SUCCESS STORIES

The principal assets of a Leicestershire based footwear wholesaler were sold within an Administration process, after a brief marketing campaign in which the company continued to trade. This will result in a substantial return to creditors of the company. The subsequent sale of the Intellectual Property Rights of the company will also preserve the brand going forward.

A recruitment company had fallen into arrears with HMRC as a result of bad debts. We dealt with the company’s Administration which, following a successful marketing campaign, was sold to a national company with the preservation of ALL 90 jobs and a significant dividend subsequently being made available to non-preferential creditors.

We sold a local building contractor in a “pre-pack” Administration scenario resulting in all 17 jobs being saved, the company’s Bankers being fully repaid and a significant dividend to non-preferential creditors.

A local printing company entered into Administration and all 19 jobs were preserved as part of a sale of the principal business assets and goodwill.

Acting as Liquidator of a local bespoke window manufacturer, a sale of the principal business assets and goodwill was achieved resulting in all 11 jobs being preserved and a likely dividend to non-preferential creditors. In addition, a successful completion of the work-in-progress has resulted in no loss to customers, who would have suffered substantial loss had those contracts not been completed.

Due to ill health, a Stockport based window fitting contractor found he was unable to defend a bankruptcy petition. Upon recovery from his health problems the debtor entered into an IVA and annulled his bankruptcy. The IVA was successfully completed following the re-mortgage of his property and the payment of his monthly contributions of £300. A dividend to creditors of 65 pence in the pound was declared. Creditors totalled £40,000.

An IVA proved to be the best solution for a Cheadle sales woman. Following redundancy the debtor was unable to service the debts that she had incurred. The duration of the Arrangement lasted 18 months, which enabled the debtor to sell her property and provide a dividend to creditors of 56 pence in the pound against total creditors of £51,000. She retained £8,000 from the equity available following the sale of the property with creditor consent.

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NEXT STEPS

If you have any concerns about your business, seek help as soon as possible. Contact us on 0161 476 9000 or via the button below for an impartial, no-obligation discussion, and let’s see what your options are.