News: Insolvency advice from Moorhead Savage saves jobs
Advice from leading Rotherham insolvency practitioner Paul Moorhead has helped to save around 50 jobs in the region in the first quarter of the year.
Three companies working in hospitality, construction and manufacturing, approached insolvency experts Moorhead Savage at the start of the New Year convinced that they were facing closure and liquidation.
Based in RiDO's Moorgate Crofts Business Centre, Paul is the only insolvency practitioner in the UK with a PhD in insolvency law.
He said: "Last year Government figures suggested there were fewer smaller businesses going into liquidation but we knew that many were hanging on and hoping for good things at the start of 2011.
"When the better times failed to materialise, these companies approached us, fearing they were on the brink of closure, with debts that they could not afford to pay.
"But in all three cases, the business owners didn't have any awareness of the options that were available to help turn their businesses around."
The answer in all three cases was a Company Voluntary Arrangement (CVA), an insolvency procedure that allows a financially troubled company to reach a binding agreement with its creditors about payment of all, or part of, its debts over an agreed period of time.
Paul added: "By encouraging these companies to take out CVAs, we were able to help safeguard around 50 jobs which, in a climate like this, has to be the best news of all."
Moorhead Savage website
Three companies working in hospitality, construction and manufacturing, approached insolvency experts Moorhead Savage at the start of the New Year convinced that they were facing closure and liquidation.
Based in RiDO's Moorgate Crofts Business Centre, Paul is the only insolvency practitioner in the UK with a PhD in insolvency law.
He said: "Last year Government figures suggested there were fewer smaller businesses going into liquidation but we knew that many were hanging on and hoping for good things at the start of 2011.
"When the better times failed to materialise, these companies approached us, fearing they were on the brink of closure, with debts that they could not afford to pay.
"But in all three cases, the business owners didn't have any awareness of the options that were available to help turn their businesses around."
The answer in all three cases was a Company Voluntary Arrangement (CVA), an insolvency procedure that allows a financially troubled company to reach a binding agreement with its creditors about payment of all, or part of, its debts over an agreed period of time.
Paul added: "By encouraging these companies to take out CVAs, we were able to help safeguard around 50 jobs which, in a climate like this, has to be the best news of all."
Moorhead Savage website
1 comments:
We agree the CVA is the best rescue mechanism for saving jobs. Lower costs than administration and allows the company a fighting chance to survive
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