Evans Publishing, the educational publisher, has filed a Company Voluntary Arrangement (CVA) after recently experiencing "particularly severe cash-flow difficulties" according to a report by the The Bookseller. the leading industry magazine.
Unusually though, the company has agreed to enter the arrangement for only one year when 3-5 years is the norm as it gives the company time to pay off its debts. However this CVA is making a total dividend payment of 31p in the pound.
In December 2009, the company reported a turnover of £3.5m and a negative balance sheet of £440,000. Since then, turnover has dropped to £2.7m.
The company was established 103 years ago as a provider of resources for the education sector and the national school’s curriculum.
We have observed a number of long established companies getting into difficulties recently with Amdega, the conservatory manufacturer established 150 years ago for example.