Written ByKeith Steven
Turnaround Director
Keith is the Managing Director of RMT KSA Insolvency Practitioners which has been established for 25 years. The company has undertaken more CVA led rescues than any other firm. Read our case studies to see how.
There is a large number of websites on the internet offering turnaround advice and insolvency advice on the options available for all types of businesses.
Usually there is less legal protection for businesses – especially companies – than there is for consumers. The general rule is that business owners are expected to be able to make informed decisions.
Unfortunately, when businesses find themselves in distress the directors, or partners, may make decisions in haste and working with advisors who are not what they seem initially.
A good rule of thumb to begin with is this… all quality advisors in the insolvency world have to be regulated by a regulatory body or group.
So, what do you need to look for when looking for turnaround and insolvency advice?
Perhaps the most important thing is check that you can see exactly who the advisors are, where they are based and which regulators they have.
Websites are required in law to have a trading and contact address so that you can check these contact details. If there is no company name, no trading name and no contact details DO NOT CONTINUE TO USE THEIR SITE. We have found that too often these sites are giving incorrect advice or answers.
We have found a large number of apparently decent websites that do not have any details about who works there, who is providing the guidance, who is their regulator and who runs the business. Many are not an actual professional advisory company at all.
No, they’re trying to get your contact details as a lead, to then sell. What they may do is sell your lead onto someone else who may be a regulated and quality advisor, but this is usually for a fee. Overall this may end up costing you, the customer, more than was originally expected as you may have to pay a commission and professional fees.
Our advice is to always ask “are you a regulated firm of insolvency and turnaround advisors or a web marketing company”? If they are both that’s fine usually.
There is nothing wrong with this in theory as directors do sometimes need to be persuaded to take action quickly when stress and insolvency worries loom. Please do bear in mind the point above before deciding to go with them. Again, ask them who they are and who their regulator is.
After talking to tens of thousands of worried directors and sole traders since 1995 we know that every case is different and there are different solutions for different problems. Some advisers will send you down a particular path such as liquidation or pre pack administration without knowing enough about the facts and will discount other options out of hand. They will not consider the objectives you have and then suggest the most appropriate range of options. A rescue could be more suited to your company, so ask “what about rescue options”. Again this is because they’re trying to sell your lead.
Obviously if a company is short of money then promises of help not costing anything is tempting i.e the creditors pay?
Be honest and think this through. Is it too good to be true?? Most likely! Even if they do some work for free it is likely to be of low quality and may well expose you to personal risk. As regulated advisors we have to discuss all options with you as part of our compliance requirements. We always offer a free discussion by telephone of the options of course, and we also set out the costs that will need to be paid for professional advisors, or insolvency practitioners to act for the company; in writing.
Also in some cases advisors will say that any payments of say turnaround or CVA fees should be personally guaranteed. So, if the business fails in its turnaround the insolvency advisor gets paid out of YOUR personal monies. Do you want to take that risk? Being blunt the incentives for getting a working solution are not there.
Do not agree to give personal guarantees for insolvency advice or fees.
Check the company, if they have one, on Companies House or www.duedil.com for a proper trading record. Especially if they claim to have been in business for years. We have nothing against new start ups as we all have to start somewhere!
This is a crucial point as only licensed insolvency practitioners can act as officers for company voluntary arrangements, administrations, pre packs and all types of liquidations.
Anyone who claims that you shouldn’t speak to insolvency practitioners is basically saying don’t go to someone who is overseen by a regulatory authority and has to abide with strict rules to protect the interests of stakeholders. Instead come to me with no protection or recourse!
In truth though we see less of this poor practice nowadays. You can check to see if a firm employs licensed insolvency practitioners. Bear in mind that as long as the firm has insolvency practitioners in it, then they can take appointments. If there are no insolvency practitioners in the business then they will obviously have to pass the enquiry onto to someone else outside! This could cost you more.
This is sometimes difficult to obtain. However, case studies are a good indicator of legitimacy. See our huge list of case studies here
KSA Group which operates www.companyrescue.co.uk is a long established company dating back to 1997. We have worked with thousands of people to rescue their business or help put it to sleep if it is no longer viable.
Moorecraft Pottery Is The Latest Potter To Go Bust
The directors of Moorcroft Pottery have announced the firm has ceased trading after over 100 years, resulting in 57 job losses, according to the GMB Union.In a social media post on Wednesday, the Stoke-on-Trent firm said it had appointed Moore Recovery to handle voluntary liquidation. No reason was given, but rising energy costs have been cited by industry sources.In March, Moorcroft had warned of possible redundancies due to higher costs and falling sales. The closure is another hit to Stoke-on-Trent’s pottery sector—known as The Potteries—which received World Craft City Status last year. Its tourism site states: "We are the World Capital of Ceramics."2025 has been a difficult year for the industry. Royal Stafford also went into administration in February. Other closures include Dudson (2019), Wade (2023), and Johnsons Tiles (2024).In March, Moorcroft reported energy costs had risen by £250,000 in two years. Keith Brymer Jones said no business could survive that."It's incredibly sad news," he told BBC Radio Stoke. "We've been crying out for support for the ceramics industry and Stoke-on-Trent as a whole for years. It's never been considered a major industry in this country."Rob Flello of Ceramics UK urged government intervention. "Successive governments have just hammered the UK ceramics industry with things like carbon taxes and a whole raft of other taxes that these cheap imports just don't have to worry about,"* he said.Chris Hoofe of GMB added: "The closure of Moorcroft is devastating news for workers and their families, but unfortunately it's not a surprise."The Department for Business and Trade stated: *"We know this will be a concerning time for Moorcroft Pottery workers and their families... ensuring the industry is globally competitive as part of our Plan for Change."Brymer Jones emphasized the broader impact: "It's 57 families that are connected to those jobs and the surrounding area... We're bloody good at making stuff here... and we literally can't afford to lose this skillset."Moorcroft has operated in Burslem since 1913. Founded in 1897 by William Moorcroft with help from Liberty, the firm gained royal recognition in 1928 and was later featured in the Royal Collection. The brand has also been favored by US presidents and British prime ministers.Royal Doulton went bust earlier this year. The main driver of this failures is the increased energy costs and the inability of the potters to compete with low cost imports that are not subject to the same costs or environmental controls.
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