Every business is different, however there are particular issues that construction businesses face which are unique to the sector.
Often with low margins and tough trading conditions, cash flow can be a problem. Below is a list of problems we’ve seen happen in the industry:
It might be that an additional loan is not what is required…. As turnaround practitioners, our specialists can help tackle these issues with you to get your construction business back on track. We can go through all the available options, like expert assessment of the issues your company faces, improved financial reporting, Time to Pay deals, CVAs and pre-pack administrations. We can also find finance for construction companies in distress.
We also have industry specific turnaround experts who can act as non executive directors, chairman or turnaround managers. We have turned around construction companies from £500k to £25m sales.
Call us on 0800 9700539 for free expert advice and a talk through your options. We can visit you onsite to discuss your specific situation.
Written ByKeith Steven
Turnaround Director
Keith is the Turnaround Director of RMT Accountants & Business Advisors. Prior to being acquired by RMT his company KSA Group has undertaken more than 300 CVA led rescues. Read our case studies to see how.
Quiz Clothing In Administration Rumours
Quiz Clothing is rumoured to be close to administration according to reports in the papers that cites the source as the Telegraph. I must admit I cannot find such an article except this one.Anyway, The fast fashion retailer has apparently filed a notice of intention to appoint administrators. It should be borne in mind that this is often a protective measure which gives the company breathing space, initially for 10 days, to put together a rescue plan. It has been reported that funds are looking at injecting it with new capital.Quiz currently has 40 stores across the UK, including in London and Manchester. The company also employs around 1000 people.The company in a statement said it had disappointing sales during the Christmas trading period and blamed labour policies that have pushed up their costs.The Sun reported that a spokesman for the company had said that all Quiz Shops continue to remain open.
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TOFS In Administration
TOFS has gone into administration with Interpath, being appointed administrator of the Burnley-based discount retailer as of today. 1200 jobs thought to be at risk. Update 19th January 2026TOFS has filed a second intention to appoint administrators. This is its last chance to find a buyer for the business. The moratorium lasts 10 days. After the moratorium expires and no buyer is found then the company will go into administration and most likely most of the stores will close.The Original Factory Shop (TOFS), bought by Modella Capital just four weeks ago, is working with advisers at Interpath on a potential company voluntary arrangement, Sky News has reported.Modella is looking at a CVA in order to close underperforming businesses and impose rent reductions on others.Potential reorganisation suggestions are also believed to include a significant distribution centre.It is understood that the creditors will meet to vote on the proposal in Mid May. It is hoping that 88 stores will get rent reductions.There will undoubtedly be some job losses among TOFS's employees, which was estimated to be around 1,800 at the time of last month's takeover, if any so-called "landlord-led" CVA caused store closures. What is a landlord led CVA? A CVA allows the company to terminate its liabilities under a lease provided that the majority of creditors by value (75%) agree. Landlords who do not have large arrears or rent owed to them are permitted in law to vote to the value of only 12 months rent. In the majority of cases, landlords make up a small proportion of the total debts so they are routinely out voted by suppliers, HMRC etc.This explains why many retailers use this as a way of reducing rental costs as they can make up a high proportion of the companies costs but not their liabilities. So in other words they can get rid of loss making stores and not be on the hook for the 5 year lease. By applying pressure on landlords, by threatening a CVA, they can get rent reductions on premises that might otherwise have to close.TOFS, which sells beauty brands such as L'Oreal, the sportswear label Adidas and DIY tools made by Black & Decker, has about 180 outlets.We will keep this page updated once we know more.
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The Revolution Bars Files Notice of Intention to Appoint Administrators
The Revel Collective, the national bar and gastro pub operator trading primarily under the Revolution, Revolución de Cuba, and Peach Pubs brands, has filed a notice of intention to appoint administrators.The move follows confirmation late last year that the group was actively pursuing a formal sale process to identify a buyer or buyers for the business. While those discussions are understood to be well advanced, the company has acknowledged that the transactions currently under consideration are not expected to deliver any return to shareholders, prompting action to safeguard creditor interests.Unless circumstances change, administrators are expected to take control of the business and its portfolio of around 60 venues within 10 business days. Trading to Continue as Sale Process Advances The group has confirmed that it will continue to trade during the notice period, including its Revolution and Revolución de Cuba venues in Glasgow and Aberdeen, while working with advisers to “preserve as much value as possible for all stakeholders” as the sale process progresses. Impact of Government Measures Cited The Revel Collective, which rebranded from Revolution Bars Group following a restructuring in October 2024, attributed its financial difficulties to the cumulative impact of government interventions announced in the most recent Budget. The company said these measures had undermined efforts to improve trading performance across the estate. Background and Leadership Founded in 1991 as a single bar in Ashton-under-Lyne, Manchester, the business was established by Roy Ellis and Neil Macleod, both of whom exited the company in 2013.The group is currently led by chief executive Rob Pitcher, with the 2024 restructuring also seeing entrepreneur Luke Johnson appointed as non-executive chairman. What This Means for Creditors The filing of a notice of intention to appoint administrators provides the company with a short period of legal protection from creditor action while options are explored.During this time, creditors cannot commence or continue legal proceedings without court permission.The business is continuing to trade, which may help preserve value while a sale of some or all of the business is pursued.If administrators are appointed, they will assess whether a sale, restructuring, or closure of venues offers the best outcome for creditors.Unsecured creditors should be aware that recoveries will depend on the value realised from any sale and the level of secured and preferential claims.
ReadThe Revel Collective Files Notice of Intention to Appoint Administrators
The Revel Collective, the national bar and gastro pub operator trading primarily under the Revolution, Revolución de Cuba, and Peach Pubs brands, has filed a notice of intention to appoint administrators.The move follows confirmation late last year that the group was actively pursuing a formal sale process to identify a buyer or buyers for the business. While those discussions are understood to be well advanced, the company has acknowledged that the transactions currently under consideration are not expected to deliver any return to shareholders, prompting action to safeguard creditor interests.Unless circumstances change, administrators are expected to take control of the business and its portfolio of around 60 venues within 10 business days. Trading to Continue as Sale Process Advances The group has confirmed that it will continue to trade during the notice period, including its Revolution and Revolución de Cuba venues in Glasgow and Aberdeen, while working with advisers to “preserve as much value as possible for all stakeholders” as the sale process progresses. Impact of Government Measures Cited The Revel Collective, which rebranded from Revolution Bars Group following a restructuring in October 2024, attributed its financial difficulties to the cumulative impact of government interventions announced in the most recent Budget. The company said these measures had undermined efforts to improve trading performance across the estate. Background and Leadership Founded in 1991 as a single bar in Ashton-under-Lyne, Manchester, the business was established by Roy Ellis and Neil Macleod, both of whom exited the company in 2013.The group is currently led by chief executive Rob Pitcher, with the 2024 restructuring also seeing entrepreneur Luke Johnson appointed as non-executive chairman. What This Means for Creditors The filing of a notice of intention to appoint administrators provides the company with a short period of legal protection from creditor action while options are explored.During this time, creditors cannot commence or continue legal proceedings without court permission.The business is continuing to trade, which may help preserve value while a sale of some or all of the business is pursued.If administrators are appointed, they will assess whether a sale, restructuring, or closure of venues offers the best outcome for creditors.Unsecured creditors should be aware that recoveries will depend on the value realised from any sale and the level of secured and preferential claims.
ReadCheapest Way To Liquidate a Company
The cheapest we can liquidate a company for is about £4.5k + VAT. This would be for a company with only a couple of creditors such as HMRC and a Bounce Back Loan.
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