Aspace Ltd entered a company voluntary arrangement on 22nd January, saving 50 jobs. Reasons for the company’s financial struggle included several loss-making stores and challenging industry conditions.
Aspace Ltd’s seven stores were closed at the beginning of the year, which unfortunately resulted in the loss of 37 jobs.
Simon Girling and Danny Dartnaill from BDO were appointed joint supervisors to assist with the CVA. The arrangement was approved by 98.6% of creditors, allowing the directors to continue running company and focus on online operations.
Despite attempting a rebrand and a restructure, the company felt the best way forward was a CVA to help tackle its debt. CEO, Dave Knight, said “In line with many consumer businesses, our sales had become heavily concentrated online, meaning that the retail stores were significantly loss making. We were very sorry to see good people leave, but the CVA has enabled us to restructure and build on the potential that Aspace undoubtedly has, with its strong brand and high-quality products.”