We were called in to assist this 30 year old printing company with its working capital requirements both pre and post a phoenix.
The business had suffered large losses in the previous 3 years together with significant write downs in the value of stock, plant and machinery.
A decision had to be made whether to battle on to turn the business round or take the opportunity to re-structure through a pre-pack and start again much leaner and fitter.
The business was sold for £90,000 (£30,000 for the work in progress and £60,000 for the plant and machinery) with the Managing Director injecting £50,000 of his own money with the balance deferred for 12 months.
We sourced factoring facilities going into and out of the phoenix and worked closely with the Insolvency Practitioner to ensure the old debts were collected out in full.
The business is now profitable again and looking to grow substantially over the next few years.