Case Type – Rescue of a business

Live Recoveries was approached by the directors of a company in the construction industry, providing design through to completion services. The Company employed 26 members of staff.

As a result of a failed contract, due to the cessation of works on site, and the resulting downturn in trade, the Company began to experience severe cashflow problems and were having difficulties in meeting their obligations to customers and HM Revenue & Customs.

Following an initial assessment of the business and a review of the financial position the considered option was to place the company in to Administration.

While the company could not be rescued as a going concern, after successfully identifying a potential purchaser negotiations resulted in the profitable areas of the business being sold and in excess of 20 jobs being rescued through their transfer to the purchaser.